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Do Lower Expected Wage Benefits Explain Ethnic Age Gaps in Job-Related Training? Evidence from New Zealand

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  • John Gibson

    (University of Waikato)

Abstract

Many studies show that individuals from ethnic minority groups receive low levels of job-related training, raising the question of whether lower expected wage benefits contribute to this lack of training. In this paper, unit record data are used to examine the effect of job-related training on wages in New Zealand. The results suggest that both the receipt of employer-provided training, and the number of training events, have larger effects on wages for minority workers than they do for white workers. There are no differences across ethnic groups in the wage benefits from other types of training.

Suggested Citation

  • John Gibson, 2003. "Do Lower Expected Wage Benefits Explain Ethnic Age Gaps in Job-Related Training? Evidence from New Zealand," Working Papers 03_03, Motu Economic and Public Policy Research.
  • Handle: RePEc:mtu:wpaper:03_03
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    File URL: https://motu-www.motu.org.nz/wpapers/03_03.pdf
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    References listed on IDEAS

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    3. Michael Shields & Stephen Wheatley Price, "undated". "Ethnic Differences in the Incidence of Employer-Funded Training for Male Employees in Britain," Discussion Papers in Economics 97/6, Division of Economics, School of Business, University of Leicester.
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    5. Booth, Alison L, 1991. "Job-Related Formal Training: Who Receives It and What Is It Worth?," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 53(3), pages 281-294, August.
    6. Oosterbeek, Hessel, 1998. "Unravelling Supply and Demand Factors in Work-Related Training," Oxford Economic Papers, Oxford University Press, vol. 50(2), pages 266-283, April.
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    9. Greenhalgh, Christine & Stewart, Mark, 1987. "The Effects and Determinants of Training," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 49(2), pages 171-190, May.
    10. Richard Blundell & Lorraine Dearden & Costas Meghir & Barbara Sianesi, 1999. "Human capital investment: the returns from education and training to the individual, the firm and the economy," Fiscal Studies, Institute for Fiscal Studies, vol. 20(1), pages 1-23, March.
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    14. John Gibson, 2000. "Sheepskin effects and the returns to education in New Zealand: Do they differ by ethnic groups?," New Zealand Economic Papers, Taylor & Francis Journals, vol. 34(2), pages 201-220.
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    Cited by:

    1. 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.

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    More about this item

    Keywords

    Earnings; Job training; Minorities; Selectivity;
    All these keywords.

    JEL classification:

    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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