Local Employer Competition and Training of Workers
نویسندگان
چکیده
The new training literature suggests that in a monopsonistic market employers will not only pay for fi rm-specifi c training but also for general training if the risk of poaching is limited. This implies that training participation should decrease when competition for employees is higher among fi rms. Using worker level data for Germany we fi nd that the hypothesis is supported empirically. Specifi cally, we fi nd that employees are signifi cantly less likely to participate in training if the density of fi rms in a sector is higher within the local labor market. JEL Classifi cation: I24, J24, J42
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