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In countries with an apprenticeship system, training firms typically make a significant investment in general human capital of apprentices in addition to paying an apprentice wage, even though such training contracts are limited for the duration of the apprenticeship period. While a firm’s training costs may be offset by the productive value of apprentices during the training period, firms may also recoup their initial investment by retaining apprentices as skilled workers after graduation. From an individual perspective, high-quality apprenticeship training may be a viable alternative to general education, as direct educational expenditures, and opportunity costs in particular, are lower compared to school-based programs, while lifetime earnings may be equally high. Focusing on apprenticeship training, we discuss the main factors that affect the training decision of firms and individuals, as well as the role of the state. Moreover, we review the recent empirical literature on the relevant economic outcomes of apprenticeship training programs.