Are Training Subsidies for Firms Effective? The Michigan Experience

Harry Holzer, Richard N. Block, Marcus Cheatham and Jack H. Knott

ILR Review, 1993, vol. 46, issue 4, 625-636

Abstract: This paper explores the effects of a state-financed training grant program for manufacturing firms in Michigan. Using a three-year panel of data from a unique survey of firms that applied for these grants, the authors estimate the effects of receipt of a grant on total hours of training in the firm and the product scrap rate. They find that receipt of these grants is associated with a large and significant, though one-time, increase in training hours, and with a more lasting reduction in scrap rates.

Date: 1993
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Persistent link: https://EconPapers.repec.org/RePEc:sae:ilrrev:v:46:y:1993:i:4:p:625-636

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