Experimental Design
We run an individual-level, stratified randomized evaluation with rejected applicants to “Tu Empleo”, a youth employability program run by Fundacion Empujar. Through Fundacion Empujar, we will reach out to 1601 individuals above age 18 to complete each step of the study. The goal is to explore if AI-powered tools can make job searching efforts more efficient, improve labor market outcomes, and function as low-cost and easy-to-access opportunities equalizers.
The experiment entails one intervention, where the treatment is assigned to half of the sample via stratified randomization, based on age (above/below 24 years old), education level (completed secondary education), parents' current emplyment status (any parent currently employed in a formal job), and rejection-phase to Tu Empleo, i.e. before or after detailed demographic and socioeconomic information are collected by Fundacion Empujar.
The intervention consists of giving the treatment group access to Brujula, a Spanish-speaking chatbot, powered by large language models, that functions as a personal career assistant. Brujula identifies and categorizes skills from any past experience (including those on the informal labor market) and creates auser-tailored skills profile, which can be used in as or in addition to a CV. The control group completes an online control tasks, that emails at testing cognitive skills broadly defined. The control tasks aims at making effort levels equal and allows to disentangle the effects Brujula's unique support from other forms of signals.
Then, participants will receive two follow-up surveys:
1) Survey 1, 2-4 weeks after treatment: we will ask participants to share information about their job search, confidence in own abilities, in writing a CV, in explaining skills to potential employers, and job opportunities, job preferences, reservation wages, and run discrete choice experiment to measure willingness to pay for formal attributes.
2) Survey 2, 1-3 months after treatment: we will ask participants to share information about their job search since the last survey, about their current job characteristics if applicable (including but not limited to earnings, work hours, type of contract, formal or informal job, sector of employment), updated reservation wages and willingness to pay for formal employment attributes.
Participants in both groups can enter two lotteries, each giving a random chance to win one of 5 vouchers of 50USD each: any participant completing the conversation with the chatbot or the control task and completing the first follow-up survey can enter the first lottery; any participant completing the second follow-up survey can enter the second lottery.
Primary outcomes include click-data on interactions Brujula, job search behaviour, self-cofidence, beliefs about job prospects, labor market outcomes on both the intensive and extensive margin. We will pay particular attention at if Brujula can improve opportunities on the formal labor market and act as cost-effective and easy-to-access opportunities equalizer.