The earlier in the unemployment spell the program takes place the earlier possible positive employment effects can occur.

The human capital investment associated with a program increases with program duration.

Activation programs can improve the employment prospects and earnings of participants.

Cons

Activation programs divert time and effort away from job search.

As the expected post-program effects increase, it becomes more attractive to complete the program than to search for a job, which increases the magnitude of lock-in effects.

Incentives to engage in an intense job search decrease with the length of the program, especially during its early stages.

Starting programs early in the unemployment spell makes it more likely that participants will forego good employment chances.