Review Questions

1.
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What is the distinction between formal and informal training?
2.
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Explain the distinction between general and specific human capital.
3.
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Give some examples of general and specific investments.
4.
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Why does the basic model predict workers will pay for their investments in general human capital?
5.
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What is the main difference in the earnings tenure patterns in the case of general and specific training?
6.
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There is a general consensus that women have greater turnover rates than men. Why might this account for their lower earnings?

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