Mexico : In-Firm Training for the Knowledge Economy
The authors use panel firm-level data to study in-firm training in Mexican manufacturing in the 1990s, its determinants, and effects on productivity and wages. Over this decade, not only did the incidence of employer-provided training become more w...
| Main Authors: | , |
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| Format: | Policy Research Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2014
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2003/01/2126591/mexico-in-firm-training-knowledge-economy http://hdl.handle.net/10986/19183 |
| Summary: | The authors use panel firm-level data to
study in-firm training in Mexican manufacturing in the
1990s, its determinants, and effects on productivity and
wages. Over this decade, not only did the incidence of
employer-provided training become more widespread among
manufacturing enterprises, but a higher proportion of the
workforce received training within firms. Technological
change, as proxied by research and development (R&D),
was an important driver of these training trends. It
contributed to increased training over time through a rising
share of firms doing R&D, but more important, through a
greater propensity over time to train conditional on
conducting R&D. The authors investigate the productivity
and wage effects of training in several ways: 1) Estimating
the wage and productivity effects of training treated as
endogenous. 2) Using training event histories to examine the
impact of changing training status over time. 3) Looking at
how training (and technology) practices changed where firms
were located in productivity and wage distributions over the
1990s. Together, these cross-sectional and panel analyses
found evidence that training had large and statistically
significant wage and productivity outcomes, that joint
training and R&D yielded larger returns than investments
in just one or the other, and that both training and
technology investments enabled firms to improve their
relative position in the wage and productivity distribution
between 1993 and 1999. |
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