Question: Cash to find work? (4.2) Will cash bonuses speed the return to work of unemployed people? The Illinois Department of Employment Security designed an experiment to find out. The subjects were 10,065 people aged 20 to 54 who were filing claims for unemployment insurance. Some were offered $500 if they found a job within 11 weeks and held it for at least 4 months. Others could tell potential employers that the state would pay the employer $500 for hiring them. A control group got neither kind of bonus.17
(a) Describe a completely randomized design for this experiment.
(b) How will you label the subjects for random assignment?
(c) Explain the purpose of a control group in this setting.