The Department of Economics Empirical Theory, History and Development Workshop Series presents
Monday, May 9, 2011
Social Science Plaza B, Room 3266
Employer learning model predicts the impact of schooling, an observable signal, on
wages decreases with accumulation of experience. Workers, however, have incentives
to invest in general human capital both at schools and workplaces such that experience
and schooling are complements unless the current employer commits to long-term employment.
Microanalysis of Japanese steel industry indeed shows that experience before employed
by the firm is complementary to schooling and the complementarity effect dominates
employer learning effect while wage growth after employed is consistent with learning
hypothesis. It suggests that previous evidences of employer learning might contain
internal labor market effect.
For further information, please contact Gloria Simpson, firstname.lastname@example.org.