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Take your time to grow: a field experiment on the hiring of youths in Germany

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Kübler, Dorothea; Schmid, Julia

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Corporate Editor Wissenschaftszentrum Berlin für Sozialforschung gGmbH
Abstract We investigate the effect of spells of no formal employment of young Germans on their chances of entering the labor market. We also study whether the potential negative effects of such spells can be mitigated by publicly provided training measures. In a field experiment, fictitious applications were sent to firms advertising an apprenticeship position for office manager. Our results show that applicants who have been out of school for two years are not less likely to be invited compared to applicants who apply during their last year of schooling. Among the two applicant types who have been out of school for two years, applicants who have taken part in a training course are significantly more likely to pass the first step in the recruitment process than those without supplementary schooling. Our findings can be explained with signaling and human capital theory while there is no evidence of stigma effects. (author's abstract)
Keywords youth; unemployment; hiring; decision; training opportunities; labor market; applicant; education measure; human capital; theory
Classification Labor Market Research
Document language English
Publication Year 2015
City Berlin
Page/Pages 17 p.
Series Discussion Papers / Wissenschaftszentrum Berlin für Sozialforschung, Forschungsschwerpunkt Markt und Entscheidung, Abteilung Verhalten auf Märkten, SP II 2015-205
Status Published Version; reviewed
Licence Deposit Licence - No Redistribution, No Modifications