The Effects of Globalization on Worker Training

25 Pages Posted: 28 Mar 2008

See all articles by Hans Gersbach

Hans Gersbach

ETH Zurich - CER-ETH -Center of Economic Reseaarch; IZA Institute of Labor Economics; CESifo (Center for Economic Studies and Ifo Institute); Centre for Economic Policy Research (CEPR)

Armin Schmutzler

University of Zurich - Department of Economics; Centre for Economic Policy Research (CEPR)

Multiple version iconThere are 3 versions of this paper

Date Written: February 2008

Abstract

We study how the integration of product and labor markets affects general worker training. When the number of firms under autarky is not too small and training would lead to a sufficiently large productivity increase, integration reduces training, often resulting in lower welfare. We also show that opening product markets to countries with publicly funded training or cheap low-skilled labor can threaten apprenticeship systems.

Keywords: general worker training, human capital, oligopoly, turnover, globalization

JEL Classification: D43, J24

Suggested Citation

Gersbach, Hans and Schmutzler, Armin, The Effects of Globalization on Worker Training (February 2008). Available at SSRN: https://ssrn.com/abstract=1113711 or http://dx.doi.org/10.2139/ssrn.1113711

Hans Gersbach

ETH Zurich - CER-ETH -Center of Economic Reseaarch ( email )

Zürichbergstrasse 18
Zurich, 8092
Switzerland
+41 44 632 82 80 (Phone)
+41 44 632 18 30 (Fax)

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

CESifo (Center for Economic Studies and Ifo Institute)

Poschinger Str. 5
Munich, DE-81679
Germany

Centre for Economic Policy Research (CEPR)

London
United Kingdom

Armin Schmutzler (Contact Author)

University of Zurich - Department of Economics ( email )

Zürich, CH-8006
Switzerland

Centre for Economic Policy Research (CEPR) ( email )

London
United Kingdom

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