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Learning and Earning: Do Multiple Training Events Pay? A Decade of Evidence from a Cohort of Young British Men

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  • Arulampalam, Wiji
  • Booth, Alison L

Abstract

This paper estimates the impact of work-related training on wage growth over the period 1981-91, using longitudinal data from the National Child Development Study, a cohort of young men aged 23 in 1981. A hurdle Negbin model is used to control for training endogeneity. We find that training incidence has a significant positive effect on wage growth. We also find that young men with a higher level of education are not only more likely to be trained, but are also more likely to experience substantially higher wage growth as a result. Copyright 2001 by The London School of Economics and Political Science

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  • Arulampalam, Wiji & Booth, Alison L, 2001. "Learning and Earning: Do Multiple Training Events Pay? A Decade of Evidence from a Cohort of Young British Men," Economica, London School of Economics and Political Science, vol. 68(271), pages 379-400, August.
  • Handle: RePEc:bla:econom:v:68:y:2001:i:271:p:379-400
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    Cited by:

    1. Alfonso Miranda, 2010. "A double-hurdle count model for completed fertility data from the developing world," DoQSS Working Papers 10-01, Department of Quantitative Social Science - UCL Institute of Education, University College London.
    2. Benoît Mahy & Mélanie Volral, 2011. "Firm Training and Labour Demand in Belgium :Does Productivity Dominate Cost Effects ?," Brussels Economic Review, ULB -- Universite Libre de Bruxelles, vol. 54(4), pages 367-388.
    3. Wiji Arulampalam & Alison Booth & Mark Bryan, 2010. "Are there asymmetries in the effects of training on the conditional male wage distribution?," Journal of Population Economics, Springer;European Society for Population Economics, pages 251-272.
    4. Michael Lechner, 2004. "Sequential Matching Estimation of Dynamic Causal Models," University of St. Gallen Department of Economics working paper series 2004 2004-06, Department of Economics, University of St. Gallen.
    5. Simone Tuor & Uschi Backes-Gellner, 2009. "Time - Even More Costly Than Money: Training Costs of Workers and Firms," Economics of Education Working Paper Series 0046, University of Zurich, Department of Business Administration (IBW).
    6. Görlitz, Katja, 2011. "Continuous training and wages: An empirical analysis using a comparison-group approach," Economics of Education Review, Elsevier, vol. 30(4), pages 691-701, August.
    7. repec:zbw:rwirep:0320 is not listed on IDEAS
    8. Carla Haelermans & Lex Borghans, 2012. "Wage Effects of On-the-Job Training: A Meta-Analysis," British Journal of Industrial Relations, London School of Economics, vol. 50(3), pages 502-528, September.
    9. Lang, Julia, 2012. "The aims of lifelong learning: Age-related effects of training on wages and job security," Annual Conference 2012 (Goettingen): New Approaches and Challenges for the Labor Market of the 21st Century 62073, Verein für Socialpolitik / German Economic Association.
    10. Kohlrausch, Bettina & Rasner, Anika, 2014. "Workplace Training in Germany and Its Impact on Subjective Job Security: Short- or Long-Term Returns?," EconStor Open Access Articles, ZBW - German National Library of Economics, pages 337-350.
    11. repec:zbw:rwirep:0197 is not listed on IDEAS
    12. Bassanini, Andrea & Booth, Alison L. & Brunello, Giorgio & De Paola, Maria & Leuven, Edwin, 2005. "Workplace Training in Europe," IZA Discussion Papers 1640, Institute for the Study of Labor (IZA).
    13. Frédéric Gavrel & Jean-Pascal Guironnet & Isabelle Lebon, 2012. "Mismatch, On-the-job Training, and Unemployment," Economics Working Paper Archive (University of Rennes 1 & University of Caen) 201224, Center for Research in Economics and Management (CREM), University of Rennes 1, University of Caen and CNRS.
    14. repec:ces:ifodic:v:4:y:2006:i:4:p:14567440 is not listed on IDEAS
    15. Anna Ruzik-Sierdzinska & Claudia Villosio & Michele Belloni & Maciej Lis & Monika Potoczna, 2013. "Age and productivity. Human Capital Accumulation and Depreciation," CASE Network Reports 0114, CASE-Center for Social and Economic Research.
    16. Grit Muehler & Michael Beckmann & Bernd Schauenberg, 2007. "The returns to continuous training in Germany: new evidence from propensity score matching estimators," Review of Managerial Science, Springer, vol. 1(3), pages 209-235, November.
    17. Claudia Burgard, 2012. "Gender Differences in Further Training Participation – The Role of Individuals, Households and Firms," Ruhr Economic Papers 0320, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
    18. Booth, Alison L. & Bryan, Mark L., 2002. "Who Pays for General Training? New Evidence for British Men and Women," IZA Discussion Papers 486, Institute for the Study of Labor (IZA).
    19. Giorgio Brunello, 2006. "Workplace Training and Labour Market Institutions in Europe," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 4(4), pages 33-41, 02.
    20. Antoni, Manfred, 2011. "Lifelong learning inequality? The relevance of family background for on-the-job training," IAB Discussion Paper 201109, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    21. Verhaest, Dieter & Omey, Eddy, 2009. "The relation between formal education and skill acquisition in young workers first job," Working Papers 2009/07, Hogeschool-Universiteit Brussel, Faculteit Economie en Management.
    22. Isabell Koske & Jean-Marc Fournier & Isabelle Wanner, 2012. "Less Income Inequality and More Growth – Are They Compatible? Part 2. The Distribution of Labour Income," OECD Economics Department Working Papers 925, OECD Publishing.
    23. Katja Görlitz, 2010. "Continuous Training and Wages – An Empirical Analysis Using a Comparison-group Approach," Ruhr Economic Papers 0197, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
    24. Burgard, Claudia, 2012. "Gender Differences in Further Training Participation – The Role of Individuals, Households and Firms," Ruhr Economic Papers 320, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    25. Julia Lang, 2012. "The Aims of Lifelong Learning: Age-Related Effects of Training on Wages and Job Security," SOEPpapers on Multidisciplinary Panel Data Research 478, DIW Berlin, The German Socio-Economic Panel (SOEP).

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