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On the Link Between On-the-Job Training and Earnings Dispersion

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Author Info
Said Hanchane () (Institut d’Economie Publique (IDEP), Marseille, and Laboratoire d’Economie et de Sociologie du Travail (LEST), Aix-en-Provence)
Jacques Silber () (Department of Economics, Bar-Ilan University, Israel, and Institut d’Economie Publique (IDEP), Marseille)

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Abstract

This paper is a first attempt to devise a methodology that allows estimating the exact impact of training on the dispersion of wages. It uses an approach originally proposed by Fields (2003) but extends it to the breakdown of inequality by population subgroups as well as to the case where the earnings function that is at the base of the analysis has to be adjusted for selectivity bias. The empirical illustration is based on a survey conducted in France at the end of the twentieth century.

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Publisher Info
Paper provided by University of Zurich, Institute for Strategy and Business Economics (ISU) in its series Economics of Education Working Paper Series with number 0023.

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Length: 42 pages
Date of creation: Sep 2007
Date of revision:
Handle: RePEc:iso:educat:0023

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Related research
Keywords: earnings’ dispersion; France; labour market segmentation; on-the-job training; overlapping; selectivity bias; unobserved heterogeneity;

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Find related papers by JEL classification:
J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Richard Blundell & Lorraine Dearden & Costas Meghir & Barbara Sianesi, 1999. "Human capital investment: the returns from education and training to the individual, the firm and the economy," Fiscal Studies, Institute for Fiscal Studies, vol. 20(1), pages 1-23, March. [Downloadable!]
  2. Levy, Frank & Murnane, Richard J, 1992. "U.S. Earnings Levels and Earnings Inequality: A Review of Recent Trends and Proposed Explanations," Journal of Economic Literature, American Economic Association, vol. 30(3), pages 1333-81, September. [Downloadable!] (restricted)
  3. Per Krusell & Lee E. Ohanian & Jose-Victor Rios-Rull & Giovanni L. Violante, 1997. "Capital-skill complementarity and inequality: a macroeconomic analysis," Staff Report 239, Federal Reserve Bank of Minneapolis. [Downloadable!]
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  4. James J. Heckman & Lance Lochner & Christopher Taber, 1998. "Explaining Rising Wage Inequality: Explorations with a Dynamic General Equilibrium Model of Labor Earnings with Heterogeneous Agents," NBER Working Papers 6384, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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