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The Pecuniary and Non-pecuniary Returns to Voucher-financed Training

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  • Görlitz, Katja
  • Tamm, Marcus

Abstract

This paper analyzes the returns to training that was co-financed by the German voucher program "Bildungsprämie". The estimation strategy compares outcomes of participants in voucher training with voucher recipients who intended to participate in training, but did not do so because of a random event like course cancellation by the provider of training. We find no impact of voucher training on wages, employment, job tasks and on subjective outcomes (in particular, the risk of job loss and job satisfaction). However, there is evidence that training participants report to better match the skill requirements of their job.

Suggested Citation

  • Görlitz, Katja & Tamm, Marcus, 2015. "The Pecuniary and Non-pecuniary Returns to Voucher-financed Training," Ruhr Economic Papers 553, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    • Handle: RePEc:zbw:rwirep:553
    DOI: 10.4419/86788631
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    References listed on IDEAS

    as
    1. Picchio, Matteo & van Ours, Jan C., 2013. "Retaining through training even for older workers," Economics of Education Review, Elsevier, vol. 32(C), pages 29-48.
    2. Schwerdt, Guido & Messer, Dolores & Woessmann, Ludger & Wolter, Stefan C., 2012. "The impact of an adult education voucher program: Evidence from a randomized field experiment," Journal of Public Economics, Elsevier, vol. 96(7-8), pages 569-583.
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    4. Harley Frazis & Mark A. Loewenstein, 2005. "Reexamining the Returns to Training: Functional Form, Magnitude, and Interpretation," Journal of Human Resources, University of Wisconsin Press, vol. 40(2).
    5. Burgard, Claudia & Görlitz, Katja, 2011. "Continuous Training, Job Satisfaction and Gender – An Empirical Analysis Using German Panel Data," Ruhr Economic Papers 265, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    6. Parent, Daniel, 1999. "Wages and Mobility: The Impact of Employer-Provided Training," Journal of Labor Economics, University of Chicago Press, vol. 17(2), pages 298-317, April.
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    8. Görlitz, Katja, 2011. "Continuous training and wages: An empirical analysis using a comparison-group approach," Economics of Education Review, Elsevier, vol. 30(4), pages 691-701, August.
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    17. Singer, Christine & Toomet, Ott-Siim, 2013. "On government-subsidized training programs for older workers," IAB-Discussion Paper 201321, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    18. Brunello, Giorgio & Comi, Simona Lorena & Sonedda, Daniela, 2010. "Training Subsidies and the Wage Returns to Continuing Vocational Training: Evidence from Italian Regions," IZA Discussion Papers 4861, Institute of Labor Economics (IZA).
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    Cited by:

    1. Dauth, Christine, 2016. "Do low-skilled employed workers benefit from further training subsidies?," VfS Annual Conference 2016 (Augsburg): Demographic Change 145533, Verein für Socialpolitik / German Economic Association.

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    More about this item

    Keywords

    training; vouchers; returns to training; program evaluation;
    All these keywords.

    JEL classification:

    • I22 - Health, Education, and Welfare - - Education - - - Educational Finance; Financial Aid
    • I26 - Health, Education, and Welfare - - Education - - - Returns to Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • M53 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Training

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