Economics at your fingertips  

Firm Training and Labour Demand in Belgium:Does Productivity Dominate Cost Effects ?

Benoît Mahy and Mélanie Volral

Brussels Economic Review, 2011, vol. 54, issue 4, 367-388

Abstract: This paper models and estimates the impact of quantitative and qualitative training financed by the firm on labour demand in Belgium. It assumes profit maximising firms producing under short run monopolistic competition conditions, where training can increase labour demand through its positive net effect on labour productivity or decrease it through higher direct labour costs and wages. The estimation of our model on a panel of 17,812 firms over the period 1999- 2007 allowing to control for the potential simultaneity between training and labour demand and for time-invariant workplace characteristics reveals a small positive impact of training variables on labour demand. This suggests that productivity effects could dominate cost effects to a small extent.

Keywords: Training; Labour Demand; Labour Productivity; Wage Determination; Panel Data (search for similar items in EconPapers)
JEL-codes: C23 J23 J24 J30 M53 (search for similar items in EconPapers)
Date: 2011
References: Add references at CitEc
Citations: Track citations by RSS feed

Downloads: (external link) ARTICLE MAHY-VOLRAL (application/pdf)

Related works:
Working Paper: Firm Training and Labour Demand in Belgium: Do Productivity Dominate Cost Effects? (2010) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This journal article can be ordered from ...

Access Statistics for this article

More articles in Brussels Economic Review from ULB -- Universite Libre de Bruxelles Contact information at EDIRC.
Bibliographic data for series maintained by Benoit Pauwels ().

Page updated 2021-08-11
Handle: RePEc:bxr:bxrceb:2013/122841