Workers’ Participation in Training and Import Competition: Evidence from the USA

Merging industry-level data on imports into the NLSY79 cohort data, we examine the relationship between rising imports and the amount of time workers in the US manufacturing sector spend in training events. A simple theoretical model shows the effect of foreign competition may depend on the type of training. Controlling for both industry and individual fixed effects, we find that rising imports lead workers to spend less time in training for the purpose of career advancement. There is some evidence this effect is stronger for less educated and lower ability workers.