Worker-level and firm-level effects of a wage subsidy program for highly educated labor: Evidence from Denmark

We study the effects of a Danish wage subsidy program for highly educated workers on the performance of the persons and firms participating in the program. Using data on the population of program participants, both workers and firms, we find that the program had positive effects on employment and annual earnings during program participation while there are no positive effects for the years after program expiration. At the employer-level, we find...