We estimate the effect of language training on subsequent employment and wages of immigrants under essential heterogeneity. The identifying variation is based on regional differences in language training availability that we use to instrument endogenous participation. Estimating marginal...

This paper investigates the extent to which the returns to gaining a PhD degree depend upon the region of birth, the region where the degree was earned, and the place of work. Eastern Germany serves as an interesting showcase in light of the ongoing debate surrounding the underrepresentation of...

This study analyzes the effects of a missing high school graduation cohort on firms' training provision and trainees' wages. An exogenous school reform varying at the state and year level caused the missing cohort to occur. Using administrative social security data on all trainees and training...

Central exams are often hypothesized to favorably affect incentive structures in schools. Indeed, previous research provides vast evidence on the positive effects of central exams on student test scores. But critics warn that these effects may arise through the strategic behavior of students and...

The notion of lifelong learning is gaining importance, not only in the labor market but also in other areas of modern societies. Previous research finds variation in occupation-related training participation by worker and workplace characteristics, gender, and education. However, evidence on the...

Wage penalties in overqualified employment are well documented, but little is known regarding the underlying mechanisms. We test two explanations, namely, formal overqualification and a mismatch of occupational skills. By using the National Educational Panel Study (NEPS) survey that is linked to...

This paper studies the factors that influence the beginning of either a new vocational training in another occupation (stopout) or the stop of vocational training altogether after an early termination (dropout of the vocational system). One influencing factor is the amount of the human capital...