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Demand for Skills and Training, Middle Income Trap and Prospects of Catch-Up Development in Russia

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  • Yakovlev, A.

    (Institute for Industrial and Market Studies, National Research University Higher School of Economics, Moscow, Russia)

Abstract

Since mid 2000s the Russian managers regularly declared the shortage of skilled labor in manufacturing industry, but the Russian scholars provided different assessments of this phenomenon. This paper argues that this shortage is real, and it is caused by the asymmetry of information and the risks of opportunism in relations between enterprises, educational institutions and workers, which leads to an insufficient level of investments by firms in the development of skills and training of workers. At the same time, the lack of qualifications and skills is a factor restraining economic development and predetermining Russia's entry into a "middle income trap". Taking into account foreign and Russian experience, it is shown that the solution of the problems of personnel training is associated with the introduction of public-private partnership mechanisms, primarily at the regional level.

Suggested Citation

  • Yakovlev, A., 2017. "Demand for Skills and Training, Middle Income Trap and Prospects of Catch-Up Development in Russia," Journal of the New Economic Association, New Economic Association, vol. 36(4), pages 166-173.
    • Handle: RePEc:nea:journl:y:2017:i:36:p:166-173
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    References listed on IDEAS

    as
    1. Gary S. Becker, 1962. "Investment in Human Capital: A Theoretical Analysis," NBER Chapters, in: Investment in Human Beings, pages 9-49, National Bureau of Economic Research, Inc.
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    4. Lall, Sanjaya, 1992. "Technological capabilities and industrialization," World Development, Elsevier, vol. 20(2), pages 165-186, February.
    5. Yang, P., 2017. "Coordinating Public-Private Partnership in VET Sector: Evidence from China," Journal of the New Economic Association, New Economic Association, vol. 36(4), pages 189-198.
    6. Remington, T., 2017. "Public-Private Partnerships in VET: Translating the German Model of Dual Education," Journal of the New Economic Association, New Economic Association, vol. 36(4), pages 182-189.
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    8. Polterovich, Victor, 2007. "Institutional Trap," MPRA Paper 20595, University Library of Munich, Germany.
    9. V. Gimpelson, 2004. "Shortage of Skills in the Labor Market: Limited Supply, Lack of Demand, or False Signals from Employers?," Voprosy Ekonomiki, NP Voprosy Ekonomiki, issue 3.
    10. Marques II, I., 2017. "Vocational Education and the Practice of Public-Private Partnerships in Russia's Regions," Journal of the New Economic Association, New Economic Association, vol. 36(4), pages 198-207.
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    More about this item

    Keywords

    shortage of skilled labor; manufacturing industry; training and vocational education; labor productivity; catch-up development;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • H44 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Goods: Mixed Markets
    • I25 - Health, Education, and Welfare - - Education - - - Education and Economic Development

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