This Paper investigates how changing the length of school year, leaving the basic curriculum unchanged, affects learning and subsequent earnings. I use variation introduced by the West German short school years in 1966-7, which exposed some students to a total of about two thirds of a year less...

We estimate the impact of compulsory schooling on earnings using the changes in compulsory schooling laws for secondary schools in West German states during the period from 1948 to 1970. While our research design is very similar to studies for various other countries, we find very different...

This paper offers and tests a theory of training whereby workers do not pay for general training they receive. The crucial ingredient in our model is that the current employer has superior information about the worker’s ability relative to other firms. This informational advantage gives the...