Relates temporary employment subsidies (TES) to other forms of assistance to industry and examines the three main classes of TES that have been developed: those concerned with job retention, job creation, and investment inducements. Considers possible limitations in TES use and discusses the economic rationales advanced for them. (CT)

The Department of Labor's Youth Incentive Entitlement Pilot Projects (YIEPP) was the nation's largest demonstration to test a new approach to solving the employment problems of disadvantaged youths. Sixteen- to 19-year-olds from low income or welfare households who had not yet graduated from high school were offered minimum-wage jobs, part-time…