Advocates of apprenticeship programmes often argue as if it is simply a matter of historical accident that such investment by US firms has been hindered. This paper explores the structure of incentives underpinning the German system of apprenticeship training. First, we describe three...

We investigate two dimensions of investment in general human capital on-the-job: the number of workers trained and the intensity of training for each worker. In the benchmark case, we consider wage and training decisions made by firms in an imperfectly competitive labour market. The benchmark...

This paper presents a modified and improved methodology for the decomposition of wage differentials between two groups of workers into an endowment component and a discrimination component. The standard decomposition technique does not take into account different probabilities of entering the...