. Low-wage subsidies have three important effects. First, they promote employment of low-skilled workers (who tend to be the … burden for the skilled workers. This amplifies the negative effect of low-wage subsidies on the incentive to acquire human …

stimulate the employment rate, the greater the length of time over which workers use the human capital generated by training …This paper examines the interactions between employment and training policies. Their effectiveness in stimulating … policies. Moreover, the greater the government expenditures on employment and training policies, the higher the taxes required …

firm training have thus far not been considered. This paper is trying to bridge this gap by using a simple two period model … to previous work this is not sufficient to increase firms' training investments. The reason lies in the endogeneity of …

compensated partly by new job creation, particularly for high skilled workers …