Experience and the returns to education and skill in OECD countries: Evidence of employer learning?
Using the Survey of Adult Skills (PIAAC), this paper documents how the returns to education and skill change with experience for a sample of 22 OECD countries. It does this within the framework of the Altonji and Pierret (2001) employer learning model, and therefore also tests the relevance of this...
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| Format: | Elektronisch Artikel |
| Sprache: | English |
| Veröffentlicht: |
Paris
OECD Publishing
2015
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| Online-Zugang: | Volltext |
| Zusammenfassung: | Using the Survey of Adult Skills (PIAAC), this paper documents how the returns to education and skill change with experience for a sample of 22 OECD countries. It does this within the framework of the Altonji and Pierret (2001) employer learning model, and therefore also tests the relevance of this theory in a wide range of countries using comparable data and a consistent methodology. Significant heterogeneity is found in the experience profiles of the returns to education and skill across countries, and convincing evidence in support of the employer learning theory is only found in a sub-set of the countries analysed. While these countries vary significantly from one another in terms of their labour market institutions and educational systems, the analysis does seem to suggest that employer learning is most common in those countries where employment protection legislation on temporary contracts is weak. This is consistent with a model in which temporary contracts allow employers to test and learn about young workers, and give them the flexibility to adjust wages in line with observed productivity. JEL codes: J24, J32, D83 Keywords: Employer learning, returns to education, returns to skill |
| Beschreibung: | 1 Online-Ressource (25 p.) 21 x 28cm. |
| DOI: | 10.1787/eco_studies-2015-5jrs3sqrvzg5 |
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| spelling | Broecke, Stijn VerfasserIn aut Experience and the returns to education and skill in OECD countries Evidence of employer learning? Stijn, Broecke Paris OECD Publishing 2015 1 Online-Ressource (25 p.) 21 x 28cm. Text txt rdacontent Computermedien c rdamedia Online-Ressource cr rdacarrier Using the Survey of Adult Skills (PIAAC), this paper documents how the returns to education and skill change with experience for a sample of 22 OECD countries. It does this within the framework of the Altonji and Pierret (2001) employer learning model, and therefore also tests the relevance of this theory in a wide range of countries using comparable data and a consistent methodology. Significant heterogeneity is found in the experience profiles of the returns to education and skill across countries, and convincing evidence in support of the employer learning theory is only found in a sub-set of the countries analysed. While these countries vary significantly from one another in terms of their labour market institutions and educational systems, the analysis does seem to suggest that employer learning is most common in those countries where employment protection legislation on temporary contracts is weak. This is consistent with a model in which temporary contracts allow employers to test and learn about young workers, and give them the flexibility to adjust wages in line with observed productivity. JEL codes: J24, J32, D83 Keywords: Employer learning, returns to education, returns to skill Economics Enthalten in OECD Journal: Economic Studies Vol. 2015, no. 1, p. 123-147 volume:2015 year:2015 number:1 pages:123-147 FWS01 ZDB-13-SOC FWS_PDA_SOC https://doi.org/10.1787/eco_studies-2015-5jrs3sqrvzg5 Volltext |
| spellingShingle | Broecke, Stijn Experience and the returns to education and skill in OECD countries Evidence of employer learning? Economics |
| title | Experience and the returns to education and skill in OECD countries Evidence of employer learning? |
| title_auth | Experience and the returns to education and skill in OECD countries Evidence of employer learning? |
| title_exact_search | Experience and the returns to education and skill in OECD countries Evidence of employer learning? |
| title_full | Experience and the returns to education and skill in OECD countries Evidence of employer learning? Stijn, Broecke |
| title_fullStr | Experience and the returns to education and skill in OECD countries Evidence of employer learning? Stijn, Broecke |
| title_full_unstemmed | Experience and the returns to education and skill in OECD countries Evidence of employer learning? Stijn, Broecke |
| title_short | Experience and the returns to education and skill in OECD countries |
| title_sort | experience and the returns to education and skill in oecd countries evidence of employer learning |
| title_sub | Evidence of employer learning? |
| topic | Economics |
| topic_facet | Economics |
| url | https://doi.org/10.1787/eco_studies-2015-5jrs3sqrvzg5 |
| work_keys_str_mv | AT broeckestijn experienceandthereturnstoeducationandskillinoecdcountriesevidenceofemployerlearning |