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Reverse Educational Spillovers at the Firm Level / 2011 + 2016


Backes-Gellner, Uschi; Rupietta, Christian; Tuor, Simone N (2017). Reverse Educational Spillovers at the Firm Level / 2011 + 2016. Evidence-based HRM: a Global Forum for Empirical Scholarship, 5(1):80-106.

Abstract

Purpose

The purpose of this paper is to examine spillover effects across differently educated workers. For the first time, the authors consider “reverse” spillover effects, i.e. spillover effects from secondary-educated workers with dual vocational education and training (VET) to tertiary-educated workers with academic education. The authors argue that, due to structural differences in training methodology and content, secondary-educated workers with VET degrees have knowledge that tertiary academically educated workers do not have.
Design/methodology/approach

The authors use data from a large employer-employee data set: the Swiss Earnings Structure Survey. The authors estimate ordinary least squares and fixed effects panel-data models to identify such “reverse” spillover effects. Moreover, the authors consider the endogenous workforce composition.
Findings

The authors find that tertiary-educated workers have higher productivity when working together with secondary-educated workers with VET degrees. The instrumental variable estimations support this finding. The functional form of the reverse spillover effect is inverted-U-shaped. This means that at first the reverse spillover effect from an additional secondary-educated worker is positive but diminishing.
Research limitations/implications

The results imply that firms need to combine different types of workers because their different kinds of knowledge produce spillover effects and thereby lead to overall higher productivity.

Abstract

Purpose

The purpose of this paper is to examine spillover effects across differently educated workers. For the first time, the authors consider “reverse” spillover effects, i.e. spillover effects from secondary-educated workers with dual vocational education and training (VET) to tertiary-educated workers with academic education. The authors argue that, due to structural differences in training methodology and content, secondary-educated workers with VET degrees have knowledge that tertiary academically educated workers do not have.
Design/methodology/approach

The authors use data from a large employer-employee data set: the Swiss Earnings Structure Survey. The authors estimate ordinary least squares and fixed effects panel-data models to identify such “reverse” spillover effects. Moreover, the authors consider the endogenous workforce composition.
Findings

The authors find that tertiary-educated workers have higher productivity when working together with secondary-educated workers with VET degrees. The instrumental variable estimations support this finding. The functional form of the reverse spillover effect is inverted-U-shaped. This means that at first the reverse spillover effect from an additional secondary-educated worker is positive but diminishing.
Research limitations/implications

The results imply that firms need to combine different types of workers because their different kinds of knowledge produce spillover effects and thereby lead to overall higher productivity.

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4 citations in Web of Science®
5 citations in Scopus®
1 citation in Microsoft Academic
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Additional indexing

Item Type:Journal Article, refereed, original work
Communities & Collections:03 Faculty of Economics > Department of Business Administration
Dewey Decimal Classification:330 Economics
JEL Classification:I20, J24, J30
Language:English
Date:2017
Deposited On:24 Aug 2011 14:25
Last Modified:28 Apr 2021 09:18
Publisher:Emerald Publishing
ISSN:2049-3983
Additional Information:Früherer Working Paper Titel: Educational spillovers at the firm level: Who benefits from whom?
OA Status:Green
Free access at:Publisher DOI. An embargo period may apply.
Publisher DOI:https://doi.org/10.1108/EBHRM-03-2015-0007
Other Identification Number:merlin-id:20619

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Content: Published Version
Filetype: PDF (Version vom August 2011)
Size: 2MB