IDEAS home Printed from https://ideas.repec.org/a/zbw/espost/213108.html
   My bibliography  Save this article

The Effect of the Business Cycle on Apprenticeship Training: Evidence from Germany

Author

Listed:
  • Baldi, Guido
  • Brüggemann-Borck, Imke
  • Schlaak, Thore

Abstract

The benefits of dual apprenticeship programs are usually discussed in the context of reducing structural unemployment rates, especially among the young. Related to this, the long-run benefits of dual apprenticeship programs are extensively analyzed in the literature. However, empirical evidence regarding the short-run effects of the business cycle on the number of apprenticeships is scarce. In this paper, we use panel-data at the German federal states level ranging from 1999 through 2012 to analyze the effects of the business cycle on the number of new apprenticeship contracts. Using different sample periods and model specifications, we do not find a robust and significant effect of the business cycle on apprenticeships. Hence, the apprenticeship system seems to dampen the volatility of youth unemployment.

Suggested Citation

  • Baldi, Guido & Brüggemann-Borck, Imke & Schlaak, Thore, 2014. "The Effect of the Business Cycle on Apprenticeship Training: Evidence from Germany," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 35(4), pages 412-422.
    • Handle: RePEc:zbw:espost:213108
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/213108/1/apprenticeship_buscycle.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Brunello, Giorgio, 2009. "The Effect of Economic Downturns on Apprenticeships and Initial Workplace Training: A Review of the Evidence," IZA Discussion Papers 4326, Institute of Labor Economics (IZA).
    2. Brunello, Giorgio & Medio, Alfredo, 2001. "An explanation of international differences in education and workplace training," European Economic Review, Elsevier, vol. 45(2), pages 307-322, February.
    3. Jan Erik Askilden & Øivind Anti Nilsen, 2005. "Apprentices And Young Workers: A Study Of The Norwegian Youth Labour Market," Scottish Journal of Political Economy, Scottish Economic Society, vol. 52(1), pages 1-17, February.
    4. Mühlemann, Samuel & Wolter, Stefan C. & Wüest, Adrian, 2009. "Apprenticeship Training and the Business Cycle," IZA Discussion Papers 4460, Institute of Labor Economics (IZA).
    5. Dietrich, Hans & Gerner, Hans-Dieter, 2007. "The determinants of apprenticeship training with particular reference to business expectations," Zeitschrift für ArbeitsmarktForschung - Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 40(2/3), pages 221-233.
    6. Zimmermann, Klaus F. & Biavaschi, Costanza & Eichhorst, Werner & Giulietti, Corrado & Kendzia, Michael J. & Muravyev, Alexander & Pieters, Janneke & Rodríguez-Planas, Núria & Schmidl, Ricarda, 2013. "Youth Unemployment and Vocational Training," Foundations and Trends(R) in Microeconomics, now publishers, vol. 9(1–2), pages 1-157, December.
    7. Lindley, Robert M, 1975. "The Demand for Apprentice Recruits by the Engineering Industry, 1951-71," Scottish Journal of Political Economy, Scottish Economic Society, vol. 22(1), pages 1-24, February.
    8. repec:eme:rlepps:v:18:y:1999:i:1999:p:359-375 is not listed on IDEAS
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Thomas Bolli & Guillaume Morlet, 2023. "Does human capital theory govern the relationship between training provision and the business cycle? Evidence from Switzerland," French Stata Users' Group Meetings 2023 26, Stata Users Group.
    2. Muehlemann, Samuel & Dietrich, Hans & Pfann, Gerard & Pfeifer, Harald, 2022. "Supply Shocks in the Market for Apprenticeship Training," Economics of Education Review, Elsevier, vol. 86(C).
    3. Samuel Lüthi & Stefan C. Wolter, 2020. "Are apprenticeships business cycle proof?," Swiss Journal of Economics and Statistics, Springer;Swiss Society of Economics and Statistics, vol. 156(1), pages 1-11, December.
    4. Chalapati, Nakarin & Chalapati, Supaporn, 2020. "Building a skilled workforce: Public discourses on vocational education in Thailand," International Journal for Research in Vocational Education and Training (IJRVET), European Research Network in Vocational Education and Training (VETNET), European Educational Research Association, vol. 7(1), pages 67-90.
    5. Mühlemann, Samuel & Pfann, Gerard A. & Pfeifer, Harald & Dietrich, Hans, 2018. "The Effects of Supply Shocks in the Market for Apprenticeships: Evidence from a German High School Reform," IZA Discussion Papers 11264, Institute of Labor Economics (IZA).
    6. Samuel Muehlemann & Harald Pfeifer & Bernhard Wittek, 2020. "The effect of business cycle expectations on the German apprenticeship market: Estimating the impact of Covid-19," Economics of Education Working Paper Series 0171, University of Zurich, Department of Business Administration (IBW).
    7. Pfann, Gerard & Muehlemann, Samuel & Pfeifer, Harald & Dietrich, Hans, 2018. "Supply Shocks in the Market for Apprenticeships: Evidence from a German High School Reform," CEPR Discussion Papers 12669, C.E.P.R. Discussion Papers.
    8. Dummert, Sandra & Umkehrer, Matthias, 2021. "The Short-Run Effects of the Covid-19 Pandemic on Vocational Education in Germany," IAB-Discussion Paper 202122, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Samuel Muehlemann & Harald Pfeifer & Bernhard Wittek, 2020. "The effect of business cycle expectations on the German apprenticeship market: Estimating the impact of Covid-19," Economics of Education Working Paper Series 0171, University of Zurich, Department of Business Administration (IBW).
    2. Samuel Lüthi & Stefan C. Wolter, 2020. "Are apprenticeships business cycle proof?," Swiss Journal of Economics and Statistics, Springer;Swiss Society of Economics and Statistics, vol. 156(1), pages 1-11, December.
    3. Mühlemann, Samuel & Wolter, Stefan C. & Wüest, Adrian, 2009. "Apprenticeship Training and the Business Cycle," IZA Discussion Papers 4460, Institute of Labor Economics (IZA).
    4. Thomas Bolli & Guillaume Morlet, 2023. "Does human capital theory govern the relationship between training provision and the business cycle? Evidence from Switzerland," French Stata Users' Group Meetings 2023 26, Stata Users Group.
    5. Dummert, Sandra & Umkehrer, Matthias, 2021. "The Short-Run Effects of the Covid-19 Pandemic on Vocational Education in Germany," IAB-Discussion Paper 202122, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    6. Bellmann Lutz & Gerner Hans-Dieter & Leber Ute, 2014. "Firm-Provided Training During the Great Recession," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 234(1), pages 5-22, February.
    7. Mueller, Barbara & Wolter, Stefan C., 2011. "The Consequences of Being Different: Statistical Discrimination and the School-to-Work Transition," IZA Discussion Papers 5474, Institute of Labor Economics (IZA).
    8. Franziska Meyer & Oliver Winkler, 2023. "Place of Residence Does Matter for Educational Integration: The Relevance of Spatial Contexts for Refugees’ Transition to VET in Germany," Social Sciences, MDPI, vol. 12(3), pages 1-30, February.
    9. Thomsen, Stephan L. & Trunzer, Johannes, 2020. "Did the Bologna Process Challenge the German Apprenticeship System? Evidence from a Natural Experiment," IZA Discussion Papers 13806, Institute of Labor Economics (IZA).
    10. Dietz Daniel & Zwick Thomas, 2020. "Training in the Great Recession – Evidence from an Individual Perspective," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 240(4), pages 493-523, August.
    11. Paul Ryan, 2011. "Apprenticeship: between theory and practice, school and workplace," Economics of Education Working Paper Series 0064, University of Zurich, Department of Business Administration (IBW), revised Oct 2011.
    12. Laporte, Christine & Mueller, Richard, 2010. "The Persistence Behaviour of Registered Apprentices: Who Continues, Quits, or Completes Programs?," CLSSRN working papers clsrn_admin-2010-21, Vancouver School of Economics, revised 27 May 2010.
    13. Jansen, Anika & de Grip, Andries & Kriechel, Ben, 2017. "The effect of choice options in training curricula on the demand for and supply of apprentices," Economics of Education Review, Elsevier, vol. 57(C), pages 52-65.
    14. Samuel Muehlemann & Harald Pfeifer & Felix Wenzelmann, 2013. "The Costs of Recruiting Apprentices: Evidence from German Firm-Level Data," Economics of Education Working Paper Series 0095, University of Zurich, Department of Business Administration (IBW), revised Nov 2015.
    15. Hinz, Tina, 2016. "Personnel policy adjustments when apprentice positions are unfilled: Evidence from German establishment data," Discussion Papers 99, Friedrich-Alexander University Erlangen-Nuremberg, Chair of Labour and Regional Economics.
    16. Nicola Banks, 2014. "What works for young people's development? A Case Study of BRAC's Empowerment and Livelihoods for Adolescent Girls programme in Uganda and Tanzania," Global Development Institute Working Paper Series 21214, GDI, The University of Manchester.
    17. André Dumas Tsambou & Lionie Mafang & Thierno Malick Diallo & Benjamin Fomba Kamga, 2024. "Impact of job training program on employment outcomes in Senegal," SN Business & Economics, Springer, vol. 4(8), pages 1-33, August.
    18. Matteo Picchio & Stefano Staffolani, 2019. "Does apprenticeship improve job opportunities? A regression discontinuity approach," Empirical Economics, Springer, vol. 56(1), pages 23-60, January.
    19. Pardesi, Mantej, 2024. "Productivity convergence and firm’s training strategy," ROA Research Memorandum 003, Maastricht University, Research Centre for Education and the Labour Market (ROA).
    20. Aepli, Manuel & Kuhn, Andreas & Schweri, Jürg, 2021. "Culture, norms, and the provision of training by employers: Evidence from the Swiss language border," Labour Economics, Elsevier, vol. 73(C).

    More about this item

    Keywords

    Economic Fluctuations; Education; Hiring; Unemployment;
    All these keywords.

    JEL classification:

    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:zbw:espost:213108. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ZBW - Leibniz Information Centre for Economics (email available below). General contact details of provider: https://edirc.repec.org/data/zbwkide.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.