The literature on skill formation and human capital development clearly demonstrates that early investment in children is an equitable and efficient policy with large returns in adulthood. Yet little is known about the mechanisms involved in producing these long-term effects. This paper presents...

When employees leave an organisation, they take their human capital with them. They also take with them any investment that the training organisation may have done to enhance their human capital, both in terms of firm-specific and general skills. Employee turnover is the main cause of the...