Comparable Estimates of Returns to Schooling Around the World
Rates of return to investments in schooling have been estimated since the late 1950s. In the 60-plus year history of such estimates, there have been several attempts to synthesize the empirical results to ascertain patterns. This paper presents com...
| Main Authors: | , |
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| Language: | English en_US |
| Published: |
World Bank Group, Washington, DC
2014
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2014/09/20173085/comparable-estimates-returns-schooling-around-world http://hdl.handle.net/10986/20340 |
| Summary: | Rates of return to investments in
schooling have been estimated since the late 1950s. In the
60-plus year history of such estimates, there have been
several attempts to synthesize the empirical results to
ascertain patterns. This paper presents comparable
estimates, as well as a database, that use the same
specification, estimation procedure, and similar data for
139 economies and 819 harmonized household surveys. This
effort to compile comparable estimates holds constant the
definition of the dependent variable, the set of control
variables, the sample definition, and the estimation method
for all surveys in the sample. The results of this study
show that (1) the returns to schooling are more concentrated
around their respective means than previously thought; (2)
the basic Mincerian model used is more stable than may have
been expected; (3) the returns to schooling are higher for
women than for men; (4) returns to schooling and labor
market experience are strongly and positively associated;
(5) there is a decreasing pattern over time; and (6) the
returns to tertiary education are highest. |
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