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The effect of subsidizing continuous training investments -- Evidence from German establishment data

Listed author(s):
  • Görlitz, Katja

This paper evaluates the impact of a training voucher program on establishments' investments in further training. The voucher program that was implemented in the German federal state of North Rhine-Westphalia increased training incentives for employees in small and medium-sized establishments by reducing training costs by 50%. The estimation is based on a quasi-experimental research design exploiting variation across time, regions and establishment size. Using establishment data, I find that the share of establishments that invest in training increased by 4-6 percentage points. Training intensity and the educational structure of participants remained unaffected among those establishments investing in training.

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Article provided by Elsevier in its journal Labour Economics.

Volume (Year): 17 (2010)
Issue (Month): 5 (October)
Pages: 789-798

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Handle: RePEc:eee:labeco:v:17:y:2010:i:5:p:789-798
Contact details of provider: Web page: http://www.elsevier.com/locate/labeco

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