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An Explanation of International Differences in Education and Workplace Training

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Author Info
Brunello, Giorgio () (University of Padova, FEEM, IZA, Bonn)
Medio, Alfredo (University of Venice)

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Abstract

We develop a simple search equilibrium model of workplace training and education based on two features. First, investment in education improves job-related learning skills and reduces training costs burdened by firms. Second, firms with vacant skilled job slots can choose between recruitment from the market and training. Compared to Germany and Japan, the US has both a higher inflow rate into unemployment and a higher efficiency of the matching process. While the combined effort of these differences on the share of educated labor is ambiguous, the effect on the percentage of firms undertaking workplace training is to unambiguously reduce it.

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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 114.

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Length: 18 pages
Date of creation: Feb 2000
Date of revision:
Handle: RePEc:iza:izadps:dp114

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Related research
Keywords: Education; workplace training;

Other versions of this item:

Find related papers by JEL classification:
J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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  1. Giorgio Brunello & Francesca Gambarotto, 2006. "Do Spatial Agglomeration and Local Labor Market Competition Affect Employer - Provided Training? Evidence from the UK," "Marco Fanno" Working Papers 0018, Dipartimento di Scienze Economiche "Marco Fanno". [Downloadable!]
    Other versions:
  2. Biagetti, Marco & Scicchitano, Sergio, 2009. "Inequality in workers’ lifelong learning across european countries: Evidence from EU-SILC data-set," MPRA Paper 17356, University Library of Munich, Germany. [Downloadable!]
  3. Rita Asplund, 2005. "The Provision and Effects of Company Training: A Brief Review of the Literature," Nordic Journal of Political Economy, Nordic Journal of Political Economy, vol. 31, pages 47-73. [Downloadable!]
  4. Efrem Castelnuovo, 2006. "Tracking U.S. Inflation Expectations with Domestic and Global Indicators," "Marco Fanno" Working Papers 0031, Dipartimento di Scienze Economiche "Marco Fanno". [Downloadable!]
  5. Anette Boom, . "Firms' Investments in General Training and the Market for Skilled Labour," Papers 013, Departmental Working Papers. [Downloadable!]
    Other versions:
  6. Giorgio Brunello & Maria De Paola, 2006. "Training and Economic Density: Some Evidence from Italian Provinces," "Marco Fanno" Working Papers 0030, Dipartimento di Scienze Economiche "Marco Fanno". [Downloadable!]
    Other versions:
  7. Rita Asplund, 2004. "The Provision and Effects of Company Training. A brief review of the literature," Discussion Papers 907, The Research Institute of the Finnish Economy. [Downloadable!]
  8. Naoki Shintoyo, 2008. "Creation of jobs and firm-sponsored training in a matching model of unemployment," Journal of Economics, Springer, vol. 93(2), pages 145-176, March. [Downloadable!] (restricted)
  9. Andrea Bassanini & Alison Booth & Giorgio Brunello & Maria De Paola & Edwin Leuven, 2005. "Workplace Training in Europe," IZA Discussion Papers 1640, Institute for the Study of Labor (IZA). [Downloadable!]
  10. Croce, Giuseppe & Ghignoni, Emanuela, 2009. "Employer-provided training and knowledge spillovers: evidence from Italian local labour markets," MPRA Paper 14475, University Library of Munich, Germany, revised Jun 2009. [Downloadable!]
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