TECHNOLOGICAL-CHANGE AND THE SKILL ACQUISITION OF YOUNG WORKERS

Since technological change influences the rate at which human capital obsolesces and also increases the uncertainty associated with human ca pital investments, training may increase or decrease at higher rates o f technological change. Using the National Longitudinal Survey of Yout h, we find that production workers in manufacturing industries with hi gher rates of technological change are more likely to receive formal c ompany training. At higher rates of technological change, the training gap between the more and less educated narrows, low-skilled nonproduc tion workers receive significantly more training than higher-skilled n onproducdon workers, and the proportion of individuals receiving train ing increases.