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Highly 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

    (METEOR)

Abstract

In this paper, we compare experience-earnings profiles of employees with vocational and generaleducation background in Germany, the Netherlands and the United Kingdom, three countries withfundamentally different education systems. Using Mixed-Effects Linear Regression Models we showthat earnings of vocationally educated employees are higher in the initial phase of their career.However, those with a general education background catch up over time in the labor market.Life-cycle differences in earnings are more pronounced in Germany than in the United Kingdom andthe Netherlands.

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Bibliographic Info

Paper provided by Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR) in its series Research Memorandum with number 042.

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Date of creation: 2011
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Handle: RePEc:unm:umamet:2011042

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Keywords: education; training and the labour market;

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  1. Shoshana Neuman & Adrian Ziderman, 1999. "Vocational Education in Israel: Wage Effects of the VocEd-Occupation Match," Journal of Human Resources, University of Wisconsin Press, vol. 34(2), pages 407-420.
  2. Jacob Mincer, 1958. "Investment in Human Capital and Personal Income Distribution," Journal of Political Economy, University of Chicago Press, vol. 66, pages 281.
  3. Alan L. Gustman & Thomas L. Steinmeier, 1980. "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.
  4. Daron Acemoglu & Jorn-Steffen Pischke, 1998. "Beyond Becker: Training in Imperfect Labor Markets," NBER Working Papers 6740, National Bureau of Economic Research, Inc.
  5. Lorraine Dearden & Howard Reed & John Van Reenen, 2005. "The impact of training on productivity and wages: evidence from British panel data," IFS Working Papers W05/16, Institute for Fiscal Studies.
  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. Claudia Goldin, 2001. "The Human Capital Century and American Leadership: Virtues of the Past," NBER Working Papers 8239, National Bureau of Economic Research, Inc.
  8. Jonathan Meer, 2005. "Evidence on the Returns to Secondary Vocational Education," Discussion Papers 04-014, Stanford Institute for Economic Policy Research.
  9. Daron Acemoglu & Jorn-Steffen Pischke, 1996. "Why Do Firms Train? Theory and Evidence," NBER Working Papers 5605, National Bureau of Economic Research, Inc.
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