Skill gaps in the EU: role for education and training policies

Bert Minne, Marc van der Steeg and Dinand Webbink

No 162, CPB Document from CPB Netherlands Bureau for Economic Policy Analysis

Abstract: Skill gaps are widely seen as a problem that lowers aggregate productivity growth. A question for the European Commission is whether and how governments should take action with education and training policies to reduce skill gaps and make Europe the best performing region in the world. European citizens can best decide for themselves on the type of education. Distribution of information on occupation prospects is effective to influence their choice of education. Moreover, it is important that the education system is sufficiently flexible to absorb unexpected shocks in skill needs of employees. Policies stimulating education targeted at government-assigned sectors are risky policies. Intensification of general education at the cost of specific education, and intensification of training of employees find little support.

JEL-codes: I28 J24 (search for similar items in EconPapers)
Date: 2008-04
New Economics Papers: this item is included in nep-edu, nep-eec, nep-hrm and nep-lab
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