Abstract

This study proposes an innovative methodological approach to incorporate public health care spending in the cost benefit analysis of the Labour Market Development Agreements evaluation. Positive outcomes associated with increased labour market attachment can affect health outcomes of program participants. This study relies on difference-in-differences and propensity score matching approaches. It uses labour market program data platform of Employment and Social Development Canada, and average public health care cost from Canadian Institute for Health Information. Our findings suggest that public health care cost decreases on average by $29 per participant per year over a four-year period under the Skills Development intervention.