Student work placements in small firms: Do they pay-off or shift tastes?

Fraser, Stuart, Storey, David J and Westhead, Paul (2006) Student work placements in small firms: Do they pay-off or shift tastes? Small Business Economics, 26 (2). pp. 125-144. ISSN 0921898X

Full text not available from this repository.


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.

Item Type: Article
Schools and Departments: University of Sussex Business School > Business and Management
Depositing User: David Storey
Date Deposited: 06 Feb 2012 19:38
Last Modified: 23 Mar 2012 12:03
📧 Request an update