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Efficiency versus Fairness from Labour Training Targeting Strategies

Author

Listed:
  • Alexandre Rands

    (Datamétrica Consultoria, Pesquisa e Telemarketing)

Abstract

This paper analyses the relationship between educational attainment and the impact of professional training labour income and total output. It shows that there is theoretical support for the hypothesis that when there is an increase in the educational attainment of the beneficiaries of the professional training, there is a growth of this impact. This result has support from two approaches considered, the arbitrage approach and the standard microeconomics labour market demand approach. It is argues that under reasonable assumptions on the cost function, it is possible to face a trade of f between efficiency and fairness of a state promoted professional training policy. Empirical tests using data from Brazilian PLANFOR supports the relationship between educational attainment and the impact of training on labour income.

Suggested Citation

  • Alexandre Rands, 2001. "Efficiency versus Fairness from Labour Training Targeting Strategies," Working Papers 7, Datamétrica Consultoria Econômica, revised 2001.
    • Handle: RePEc:dtm:wpaper:7
    as

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    File URL: ftp://repec.datametrica.com.br/RePEc/dtm/wpaper/BARROSAlexandreEfficiencyversusFairnessfromLabourTrainingTargetingstrategiesGBER7.pdf
    File Function: Revised version, 2001
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    More about this item

    Keywords

    professional training; labour income; public policies;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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