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Human capital investment and job creation: the role of the education and production systems

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  • Sonedda, Daniela

Abstract

This paper provides empirical evidence on two mechanisms through which a committed investment in human capital serves as a stepping stone into permanent employment. I verify whether regional disparities in general education and production systems affect the capacity of the apprenticeship labour contract to create job matches that persist over time. I find that when the quality of the regional education system is good, the medium-run gains in terms of permanent employment can be moderate. However, a small number of productive firms in a region limits the quantity of job entries as apprentices.

Suggested Citation

  • Sonedda, Daniela, 2018. "Human capital investment and job creation: the role of the education and production systems," MPRA Paper 91902, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:91902
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    More about this item

    Keywords

    Human capital; permanent employment; education system; production system;
    All these keywords.

    JEL classification:

    • J0 - Labor and Demographic Economics - - General
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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