On-the-Job Learning and Earnings: Comparative Evidence from Morocco and Senegal

Christophe Nordman and François-Charles Wolff

No 6728, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: In this paper, we consider a model of on-the-job learning where workers learn informally by watching and imitating colleagues. We estimate the rate of knowledge diffusion inside the firm using two matched worker-firm data sets from Morocco and Senegal. We rely on non-linear least squares to estimate the structural parameters of the informal learning model and account for firm heterogeneity using firm factors derived from a principal component analysis. We find that the rate of knowledge diffusion is around 7 percent in Morocco and Senegal, but part of the learning-by-watching returns stems from firm heterogeneity. Informal training significantly affects the shape of returns to tenure in these two countries. Finally, we estimate an extended model with both learning-by-watching and learning-by-doing and find significant benefits from imitating colleagues in Morocco.

Keywords: returns to tenure; learning-by-doing; learning-by-watching; informal training; earnings functions; Morocco; Senegal (search for similar items in EconPapers)
JEL-codes: J24 J31 O12 (search for similar items in EconPapers)
Pages: 30 pages
Date: 2012-07
New Economics Papers: this item is included in nep-afr, nep-ara, nep-hrm, nep-lab and nep-lma
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Published - published in: Region et Developpement, 2012, 35, 151-176

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Related works:
Journal Article: ON-THE-JOB LEARNING AND EARNINGS: COMPARATIVE EVIDENCE FROM MOROCCO AND SENEGAL (2012)
Working Paper: On-the-job learning and earnings: Comparative evidence from Morocco and Senegal (2012)
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