Student Work Placements in Small Firms: Do They Pay-off or Shift Tastes?

Student Work Placements in Small Firms: Do They Pay-off or Shift Tastes? We present a model of training investments and employment outcomes. In this model training may enhance trainees’ tastes for particular types of career (taste shift) and/or shift their wage offer distributions (pay-off). An empirical analysis is conducted with a unique data-set of UK graduates. These data contain information on students’ career tastes before small-firm placements as well as their employment outcomes after graduation. Analysis of these data indicates that the placements provide a pay-off among highly employable graduates who face certain disadvantages in the labour market. Conversely individuals, who expressed a taste for small-firm careers before placements, are more likely to take-up small-firm employment after placements suggesting these individuals experience enhanced opportunities for their preferred career. However individuals with pre-placement large-firm preferences have no greater likelihood of entering small-firms’ employment after placements indicating there is no fundamental effect on career tastes. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Small Business Economics Springer Journals

Student Work Placements in Small Firms: Do They Pay-off or Shift Tastes?

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Publisher
Kluwer Academic Publishers
Copyright
Copyright © 2006 by Springer
Subject
Business and Management; Management; Microeconomics; Entrepreneurship; Industrial Organization
ISSN
0921-898X
eISSN
1573-0913
D.O.I.
10.1007/s11187-004-2438-6
Publisher site
See Article on Publisher Site

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