Wage Compression and Firm-Sponsored Training: Empirical Evidence for the Acemoglu-Pischke Model from German Establishment Data

33 Pages Posted: 25 Nov 2001

See all articles by Michael Beckmann

Michael Beckmann

University of Freiburg - Personnel and Organizational Economics

Date Written: November 2001

Abstract

This paper investigates the determinants of firm-sponsored training which result from the Acemoglu-Pischke model (APM) empirically using German firm-level data on apprenticeship training. Acemoglu and Pischke (1999a, 1999b) demonstrate that wage compression may encourage employers to offer and pay for general training and identify mobility costs, asymmetric information, firm-specific human capital components, efficiency wages, and wage floors as sources of wage compression. Applying zero-inflated negative binomial regression models (ZINB) insistent empirical evidence is found supporting the implications of the APM especially for West Germany.

Keywords: Firm-sponsored training, wage compression, Acemoglu-Pischke model, zero-inflated negative binomial regression

JEL Classification: C24, C25, J24, J31, M53

Suggested Citation

Beckmann, Michael, Wage Compression and Firm-Sponsored Training: Empirical Evidence for the Acemoglu-Pischke Model from German Establishment Data (November 2001). Available at SSRN: https://ssrn.com/abstract=291725 or http://dx.doi.org/10.2139/ssrn.291725

Michael Beckmann (Contact Author)

University of Freiburg - Personnel and Organizational Economics ( email )

Platz der Alten Synagoge
D-79085 Freiburg
Germany
++49 761 203-2392 (Phone)
++49 761 203-2394 (Fax)

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