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  • Publication
    Should Welfare Administration be Centralized or Decentralized? Evidence from a Policy Experiment
    (Wiley-Blackwell, 2014)
    The 2005 reform of the German welfare system introduced two competing organizational models for welfare administration. In most districts, a centralized organization was established where local welfare agencies are bound to central directives. At the same time, 69 districts were allowed to opt for a decentralized organization. We evaluate the relative success of both types in terms of integrating welfare recipients into employment. Com-pared to centralized organization, decentralized organization has a negative effect on employment chances of males. For women, no significant effect is found. These findings are robust to aspects of internal organization common to both types of agencies.
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    Scopus© Citations 9