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High and steady or low and rising? Life-cycle earnings patterns in vocational and general education

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  • Cörvers Frank
  • Heijke Hans
  • Kriechel Ben
  • Pfeifer Harald

    (ROA rm)

Abstract

In this paper, we compare experience-earnings profiles of employees with vocational andgeneral education background in Germany, the Netherlands and the United Kingdom,three countries with fundamentally different education systems. Using Mixed-EffectsLinear Regression Models we show that earnings of vocationally educated employeesare higher in the initial phase of their career. However, those with a general educationbackground catch up over time in the labor market. Life-cycle differences in earnings aremore pronounced in Germany than in the United Kingdom and the Netherlands.

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Bibliographic Info

Paper provided by Maastricht : ROA, Research Centre for Education and the Labour Market in its series Research Memoranda with number 007.

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Date of creation: 2011
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Handle: RePEc:dgr:umaror:2011007

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Web page: http://www.maastrichtuniversity.nl/web/UMPublications.htm

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Keywords: labour economics ;

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  1. Daron Acemoglu & Joern-Steffen Pischke, 1998. "Beyond Becker: Training in Imperfect Labor Markets," Working papers 98-12, Massachusetts Institute of Technology (MIT), Department of Economics.
  2. Acemoglu, Daron & Pischke, Jörn-Steffen, 1996. "Why do Firms Train? Theory and Evidence," CEPR Discussion Papers 1460, C.E.P.R. Discussion Papers.
  3. Jacob Mincer, 1958. "Investment in Human Capital and Personal Income Distribution," Journal of Political Economy, University of Chicago Press, vol. 66, pages 281.
  4. Goldin, Claudia, 2001. "The Human-Capital Century and American Leadership: Virtues of the Past," Scholarly Articles 2624681, Harvard University Department of Economics.
  5. Meer, Jonathan, 2007. "Evidence on the returns to secondary vocational education," Economics of Education Review, Elsevier, vol. 26(5), pages 559-573, October.
  6. Jovanovic, Boyan, 1979. "Job Matching and the Theory of Turnover," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 972-90, October.
  7. Lorraine Dearden & Howard Reed & John Van Reenen, 2006. "The Impact of Training on Productivity and Wages: Evidence from British Panel Data," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 68(4), pages 397-421, 08.
  8. Neuman, Shoshana & Ziderman, Adrian, 1991. "Vocational schooling, occupational matching, and labor market earnings in Israel," Policy Research Working Paper Series 683, The World Bank.
  9. Goldin, Claudia, 2001. "The Human-Capital Century And American Leadership: Virtues Of The Past," The Journal of Economic History, Cambridge University Press, vol. 61(02), pages 263-292, June.
  10. Alan L. Gustman & Thomas L. Steinmeier, 1982. "Labor Markets and Evaluations of Vocational Training Programs in the Public High Schools - Toward a Framework for Analysis," NBER Working Papers 0478, National Bureau of Economic Research, Inc.
  11. Claudia Goldin, 2001. "The Human Capital Century and American Leadership: Virtues of the Past," NBER Working Papers 8239, National Bureau of Economic Research, Inc.
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