The economics of the apprenticeship system

Over the last decade, research has revealed that employers pay for a large proportion of general training with little apparent return to their companies. This has generated research on new theoretical models, comparative systems and recent developments in systems of youth training and the economic theory of contracts. This publication uses contract theory as the underlying framework to provide a complete and coherent economic analysis of the apprenticeship system as applied in Europe, America and Australia. The authors adopt a comparative-historical perspective and review a number of...  [+] Show more

Over the last decade, research has revealed that employers pay for a large proportion of general training with little apparent return to their companies. This has generated research on new theoretical models, comparative systems and recent developments in systems of youth training and the economic theory of contracts. This publication uses contract theory as the underlying framework to provide a complete and coherent economic analysis of the apprenticeship system as applied in Europe, America and Australia. The authors adopt a comparative-historical perspective and review a number of recent models developed to explain the training decisions of employers. Insight into the current debate on the future of the apprenticeship system is offered. The chapters are: Introduction: the history of the apprenticeship system; Theoretical models of the decision to invest in training; The theory of contracts and the apprenticeship contract; The demand for and supply of apprentice training: the current empirical evidence; The future of the apprenticeship system.