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Swiss Leading House VPET-ECON

Project 3

Regional mismatches in the demand for apprentices

The research literature on supply factors in apprentice training has established that the regional economic environment of a company can exert a significant influence on the willingness of a company to train. In this, however, the mode of action is not clear although it is certainly connected with aspects of labor market regulation. It is known from deregulated labor markets that a high regional concentration of similar companies lowers the willingness to train, because of the increased risk that training investments might be lost through poaching by competitors.

Reverse effects have been observed in less deregulated labor markets. In the latter case, a regional concentration of similar companies can result in an increase in the willingness to train, because complementary benefits of training and further spillover effects can prevail, favored by the reduced danger of the movement of labor. Up to now the effects of the regional economic structure on the supply of training places have hardly been investigated, despite the fact that the supply of training places is likely to be affected by such factors.

The aim of this project is to examine these factors. The project also differs from previous research in that the supply of alternative educational facilities will be considered as an additional factor possibly affecting the demand for apprentices. 

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