Artikel

The puzzle of non-participation in continuing training: an empirical study of chronic vs. temporary non-participation

Although participation in continuing vocational training is often found to be associated with considerable individual benefits, a puzzlingly large number of people still do not take part in training. In order to solve the puzzle we distinguish between temporary and chronic non-participants. Previous studies have shown that training participants and non-participants differ in unobservable characteristics and therefore self-select into training or not. We show that even non-participants cannot be treated as a homogeneous group: there are those who never take part in training (chronic non-participants) and those who are not currently taking part (temporary (non-)participants). Using a unique data set of non-participants commissioned by the German 'Expert Commission on Financing Lifelong Learning' and covering a very large number of individuals not taking part in training, we separate and compare chronic and temporary non-participants. By estimating a sample selection model using maximum likelihood estimation we take potential selection effects into account: temporary (non-)participants may be more motivated or may have different inherent skills than chronic nonparticipants. We find that chronic non-participants would have higher costs than temporary (non-)participants and their short-term benefits associated with their current jobs would be lower. However, in the long run even chronic non-participants would benefit similarly from participation due to improved prospects on the labor market. The results indicate that chronic non-participants either misperceive future developments or suffer from an exceptionally high discount rate, which in turn leads in their view to a negative cost-benefit ratio for training.

Language
Englisch

Bibliographic citation
Journal: Zeitschrift für ArbeitsmarktForschung - Journal for Labour Market Research ; ISSN: 2510-5027 ; Volume: 40 ; Year: 2007 ; Issue: 2/3 ; Pages: 295-311 ; Nürnberg: Institut für Arbeitsmarkt- und Berufsforschung (IAB)

Classification
Wirtschaft
Subject
Weiterbildung
Teilnehmer
Bildungsbeteiligung
Bildungsinvestitionen
Bildungsertrag
Kosten-Nutzen-Analyse
Bildungsökonomie

Event
Geistige Schöpfung
(who)
Backes-Gellner, Uschi
Mure, Johannes
Tuor, Simone N.
Event
Veröffentlichung
(who)
Institut für Arbeitsmarkt- und Berufsforschung (IAB)
(where)
Nürnberg
(when)
2007

Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

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Object type

  • Artikel

Associated

  • Backes-Gellner, Uschi
  • Mure, Johannes
  • Tuor, Simone N.
  • Institut für Arbeitsmarkt- und Berufsforschung (IAB)

Time of origin

  • 2007

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