Clark, Damon and Fahr, Rene (2002) The promise of workplace training for non-college bound youth: theory and evidence from German apprenticeship. CEPDP (518). London School of Economics and Political Science. Centre for Economic Performance, London, UK. ISBN 0753019167
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Abstract
This paper assesses the potential of `workplace training'' with reference to German Apprenticeship. When occupational matching is important, we derive conditions under which firms provide `optimal'' training packages. Since the German system broadly meets these conditions, we evaluate the effectiveness of apprenticeship using a large administrative dataset. We find returns to apprenticeship for even the lowest ability school-leavers comparable to standard estimates of the return to school, and show that training is transferable across a wide range of occupations, such as a one-digit occupation group. We conclude that the positive experience with German Apprenticeship Training may guide the design of similar policies in other countries.
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