2014
DOI: 10.1007/s12122-014-9192-6
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The Effect of the Business Cycle on Apprenticeship Training: Evidence from Germany

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… Show more

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Cited by 12 publications
(9 citation statements)
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“…Our elasticity estimate is lower than that of Maier and Walden (2014), who report an elasticity of 0.60 based on a state-level analysis between 1983 and 2003. However, it is in line with the results of Baldi et al (2014), who estimate an elasticity of 0.22 for the period 1999-2012.…”
Section: Elasticity Of Apprenticeship Contracts and Wages With Respecsupporting
confidence: 91%
See 1 more Smart Citation
“…Our elasticity estimate is lower than that of Maier and Walden (2014), who report an elasticity of 0.60 based on a state-level analysis between 1983 and 2003. However, it is in line with the results of Baldi et al (2014), who estimate an elasticity of 0.22 for the period 1999-2012.…”
Section: Elasticity Of Apprenticeship Contracts and Wages With Respecsupporting
confidence: 91%
“…Previous studies have analyzed the relationship between school graduates and apprenticeship contracts (e.g.,Baldi et al 2014; Maier and Walden 2014 for Germany; Muehlemann et al 2009 for Switzerland). However, demographic changes in the number of school graduates are typically small and the number of training contracts adjusts smoothly over time.…”
mentioning
confidence: 99%
“…In a more recent study, Baldi, Brüggemann-Borck, and Schlaak (2014) examine the short-run relationship between business cycles and the number of apprentices in Germany between 1999 and 2012 and find no robust relationship for both the unemployment rate and (lagged) GDP, except for small effects in West Germany, and only for the period after 2007. Hence, they conclude that 'the apprenticeship system seems to have dampened the volatility of youth unemployment in Germany' .…”
Section: Previous Literaturementioning
confidence: 98%
“…When looking specifically at the German labor market, research has yet to produce conclusive interpretations of empirical data. In what is probably the study covering the longest time period to date, Baldi et al ( 2014 ) investigate business cycle related drivers of apprenticeship contracts offered in Germany between 1999 and 2012. Their analysis shows that the effects of income growth and unemployment rates are small to none during what they refer to as “normal times” (p. 11).…”
Section: Relevant Literaturementioning
confidence: 99%