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The Effectiveness of Apprenticeship Training - a within track comparison of workplace-based and school-based vocational training in Hungary

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  • Daniel Horn

    (Institute of Economics, Center for Economic and Regional Studies, Hungarian Academy of Sciences and ELTE, Department of Economics)

Abstract

Although apprenticeship training has been praised for its effectiveness in smoothing the school-to-work transition of non-college bound students, most studies rely on cross country or cross track comparisons. This study compares apprenticeship training students with non-apprentices within educational track using a rich database and a unique set of observable individual level characteristics as well as local labor market fixed effects to control for the potential selection bias. The results show that there are no significant differences in employment chances between apprentices and non-apprentices within just a year after graduation. Although, in small subsamples of the population, significant differences can be found, these are most likely due unobserved heterogeneity. However, even if these observed differences are unbiased, they are more likely due to the superior screening of the larger firms rather than their superior training.

Suggested Citation

  • Daniel Horn, 2014. "The Effectiveness of Apprenticeship Training - a within track comparison of workplace-based and school-based vocational training in Hungary," Budapest Working Papers on the Labour Market 1405, Institute of Economics, Centre for Economic and Regional Studies.
  • Handle: RePEc:has:bworkp:1405
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    apprenticeship training; employment; screening; school-to-work transition; panel data;
    All these keywords.

    JEL classification:

    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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