On-the-job learning is essential for human capital accumulation and wage growth in modern economies. Yet, evidence suggests that workers in poor countries have fewer opportunities for on-thejob learning, with important consequences on overall labor productivity and firms’ innovation. The researchers propose a novel explanation for low on-the-job learning in low-income countries: skilled workers might have incentives to “hoard knowledge” for competitive motives.
This project answers three questions: 1) Do workers demand a compensating differential for training a co-worker they perceive as threatening their rents—such as wages, labor demand, or prestige? 2) What are the consequences of knowledge hoarding on skill diffusion and technology adoption? 3) What happens to knowledgehoarding behavior when a new technology is introduced?
The researchers answer these questions through field experiments with tailoring firms and agricultural employers in Burundi.
