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Extended Schooling and Internalized Training: Skill Elements Evolution of Blue-collar Workers in an Internal Labor Market

Author

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  • NAKABAYASHI, Masaki

    (Institute of Social Science, The University of Tokyo)

Abstract

Long-term employment and internal promotion at major firms are common in developed economies. We examine the long-range changes in the returns on skill elements and training using a micro dataset of a Japanese ironworks. We show that, 1) the return on schooling rose from the late 1940s and that on tenure surged but that on previous experience became modest from the mid-1950s, 2) complementarity between schooling and experience strengthened from the mid-1950s, and 3) training programs focused on bettereducated employees from the late 1940s, which formed an internal labor market in the flexible labor market in the 1960s.

Suggested Citation

  • NAKABAYASHI, Masaki, 2011. "Extended Schooling and Internalized Training: Skill Elements Evolution of Blue-collar Workers in an Internal Labor Market," ISS Discussion Paper Series (series F) f157, Institute of Social Science, The University of Tokyo, revised Aug 2012.
    • Handle: RePEc:itk:issdps:f157
    as

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    File URL: http://www.iss.u-tokyo.ac.jp/publishments/dpf/pdf/f-157.pdf
    File Function: Revised version, 29th October. 2013
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    References listed on IDEAS

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    More about this item

    Keywords

    specific skills; asymmetric employer learning; return on schooling; internal labor markets; Japan.;
    All these keywords.

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
    • M52 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Compensation and Compensation Methods and Their Effects

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