A study examined the earnings losses suffered by a group of experienced workers who separated from their firms in the early and mid-1980s. The quarterly earnings histories of a large number of Pennsylvania workers covering the period 1974 through 1986 merged with employment information about their firms served as the data set. Workers' earnings…

In the middle of the 20th century, job training was largely unnecessary, since workers were desperately needed to labor in manufacturing and construction jobs. Skills were learned on the job, and even a high school diploma was not needed for most occupations. Workers received wages that allowed them to raise a family comfortably and then to retire…