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Can vocational education improve the wages of minorities and disadvantaged groups?: The case of Israel

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  • Neuman, Shoshana
  • Ziderman, Adrian

Abstract

There is a considerable empirical literature which compares wage levels of workers who have studied at secondary vocational schools with wages of workers who took academic schooling. In general, vocational education does not lead to higher wages. In some countries where labour markets are characterized by employment growth, skill shortages and a good match between vocational skills and available jobs, the record of vocational schooling has been more positive. Israel constitutes a case in point. Little attention has been given to examining the success of vocational education in raising the wages of various sub-sections of the labour force, in particular of minorities and disadvantaged groups. In this paper, we examine the efficacy of vocational education in raising the wage levels of four such groups: recent immigrants, Jews of Eastern origin, Israeli Arabs and females. The results are mixed, differing from group to group, thus justifying our approach of examining the impact of vocational schooling on finer breakdowns of the population of secondary school completers.
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  • Neuman, Shoshana & Ziderman, Adrian, 2003. "Can vocational education improve the wages of minorities and disadvantaged groups?: The case of Israel," Economics of Education Review, Elsevier, vol. 22(4), pages 421-432, August.
    • Handle: RePEc:eee:ecoedu:v:22:y:2003:i:4:p:421-432
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    2. Dai, Li & Martins, Pedro S., 2024. "Does vocational education pay off in China? Evidence from city-level education supply shocks," Economic Modelling, Elsevier, vol. 140(C).
    3. Daoud, Yousef, 2005. "Gender gap in returns to schooling in Palestine," Economics of Education Review, Elsevier, vol. 24(6), pages 633-649, December.
    4. Chih Cheng CHEN, 2013. "Industry Agglomeration and Wage Differentiation: An Empirical Study on Taiwan’s Manufacturing Industry," Regional and Sectoral Economic Studies, Euro-American Association of Economic Development, vol. 13(2), pages 147-160.
    5. Mahmoud K. El-Jafari, 2010. "Efficiency and Effectiveness of Palestinian Vocational Education and Training," Working Papers 571, Economic Research Forum, revised 11 Jan 2010.
    6. Mona Said & Fatma El-Hamidi, 2008. "Taking Technical Education Seriously in MENA: Determinants, Labor Market Implications and Policy Lessons," Working Papers 450, Economic Research Forum, revised 09 Jan 2008.
    7. Lulaj Enkeleda, 2019. "The Impact and Effects of Financial Reporting in the Public Accounting Econometric Analysis Model: Revenue and Expenditures for Period 2007-2017," European Journal of Economics and Business Studies Articles, Revistia Research and Publishing, vol. 5, ejes_v5_i.

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    More about this item

    JEL classification:

    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J44 - Labor and Demographic Economics - - Particular Labor Markets - - - Professional Labor Markets and Occupations
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers

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