nep-edu New Economics Papers
on Education
Issue of 2010‒08‒28
nine papers chosen by
Joao Carlos Correia Leitao
University of Beira Interior and Technical University of Lisbon

  1. Does university choice drive graduates’ employability? By Ciriaci, Daria; Muscio, Alessandro
  2. The Impact of Parental Income and Education on the Schooling of their Children By A Chevalier; C Harmon; Ian Walker; V O'Sullivan
  3. Ties That Do Not Bind (Directly): The Education-Terrorism Nexus Revisited By Sarah Brockhoff; Tim Krieger; Daniel Meierrieks
  4. A Note on Brain Gain and Brain Drain: Permanent Migration and Education Policy By Alexander Haupt; Tim Krieger; Thomas Lange
  5. Education Performance: Was It All Determined 100 Years Ago? Evidence From São Paulo, Brazil By de Carvalho Filho, Irineu; Colistete, Renato P.
  6. Explaining the Labour Market Outcomes of First, Second and Third Generation Immigrants in Canada By Tu, Jiong
  7. A brief report of research activities of Indus Institute of Higher Eduction (IIHE) Karachi, Pakistan 2007-2010 (August) By Herani, Gobind M.; Shirazi, Riaz Ahmed
  8. Germany's Next Top Manager: Does Personality Explain the Gender Career Gap? By Fietze, Simon; Holst, Elke; Tobsch, Verena
  9. The Economic Consequences of "Brain Drain" of the Best and Brightest: Microeconomic Evidence from Five Countries By Gibson, John; McKenzie, David

  1. By: Ciriaci, Daria; Muscio, Alessandro
    Abstract: Universities have come under increasing pressure to become key drivers of economic development in the age of the knowledge economy. Yet we know very little about the impact of university quality and scientific excellence on the probability of graduates finding jobs. This paper investigates the determinants of Italian graduates’ employability 1-year and 3-years after graduation, with special reference to university quality measured in terms of research performance. Our results confirm that the ‘better’ the university, the higher the likelihood that graduates will be employed. We also observe strong effects associated with field of study, and wide regional differences.
    Keywords: University quality; returns to education; labour market outcomes, employment
    JEL: I23 J24
    Date: 2010–05–05
  2. By: A Chevalier; C Harmon; Ian Walker; V O'Sullivan
    Abstract: This paper addresses the intergenerational transmission of education and investigates the extent to which early school leaving (at age 16) may be due to variations in parental background. An important contribution of the paper is to distinguish between the causal effects of parental income and parental education levels. Least squares estimation reveals conventional results - weak effects of income (when the child is 16), stronger effects of maternal education than paternal, and stronger effects on sons than daughters. We find that the education effects remain significant even when household income is included. However, when we use instrumental variable methods to simultaneously account for the endogeneity of parental education and paternal income, only maternal education remains significant (for daughters only) and becomes stronger. These estimates are consistent to various set of instruments. The impact of paternal income varies between specifications but become insignificant in our preferred specification. Our results provide limited evidence that policies alleviating income constraints at age 16 can alter schooling decisions but that policies increasing permanent income would lead to increased participation (especially for daughters). There is also evidence of intergenerational transmissions of education choice from mothers to daughters.
    Keywords: Early school leaving, intergenerational transmission
    Date: 2010
  3. By: Sarah Brockhoff (University of Freiburg); Tim Krieger (University of Mainz); Daniel Meierrieks (University of Paderborn)
    Abstract: This contribution offers a comprehensive empirical analysis of the effects of education on terrorism for 118 countries for the period 1984 to 2007. We find that education and terrorism are not directly linked, so that education neither fosters nor retards terrorism on its own. Rather, our results suggest that education may fuel terrorist activity in the presence of poor political and socio-economic conditions, whereas bet- ter education in combination with favorable conditions decreases terrorism. Thus, the precise effect of education on terrorism depends on country-specific conditions. A successful anti-terrorism strategy should therefore focus on a country's political and socio-economic development, in addition to educational attainment.
    Keywords: education, terrorism, counter-terrorism, development strategies, condi- tional effects
    JEL: H56 D74 O15 H52 I2 N40
    Date: 2010–07
  4. By: Alexander Haupt (University of Plymouth); Tim Krieger (University of Mainz); Thomas Lange (University of Konstanz)
    Abstract: In this note, we present a novel channel for a brain gain. Students from a developing country study in a developed host country. A higher permanent migration probability of these students appears to be a brain drain for the developing country in the first place. However, it induces the host country to improve its education quality, as a larger share of the generated bene…ts accrue in this host country. A higher education quality raises in turn the human capital of the returning students. As long as the permanent migration probability is not too large, this positive effect causes both aggregate and per-capita human capital to increase in the developing country. Thus, a brain gain occurs.
    Keywords: Brain gain, education policy, human capital, return migration
    JEL: F22 I28 J61 O15
    Date: 2010–07
  5. By: de Carvalho Filho, Irineu; Colistete, Renato P.
    Abstract: This paper deals with institutional persistence in long-term economic development. We investigate the historical record of education in one of the fastest growing and most unequal societies in the twentieth century – the state of São Paulo, Brazil. Based on historical data from an agricultural census and education statistics, we assess the role played by factors such as land concentration, immigration and type of economic activity in determining supply and demand of education during the early twentieth century, and to what degree these factors help explain current educational performance and income levels. We find a positive and enduring effect of the presence of foreign-born immigrants on the supply of public instruction, as well as a negative effect of land concentration. Immigrant farm-laborers established their own community schools, and pressured for public funding for those schools or for public schools. The effects of early adoption of public instruction can be detected more than one hundred years later in the form of better test scores and higher income per capita. These results are suggestive of an additional mechanism generating inequality across regions: the places that received immigration from countries with an established public education system benefited from an earlier adoption of the revolutionary idea of public education.
    Keywords: Public education; Brazil; Economic History; Economic Development; Coffee; Immigration; Land Inequality; Toryism
    JEL: N16 H75 O4
    Date: 2010–08–18
  6. By: Tu, Jiong (Human Resources and Skills Development Canada - Labour Program)
    Abstract: This paper examines the effectiveness of Canadian immigration policy by analyzing the differences in the returns to education between first, second and third generation immigrant men. Regression results indicate that the second generation with high school education and lower do not earn significantly less than the equally educated third generation. However, the second generation with at least postsecondary education experience a wage deficit to the third generation. I explain the well-educated second generation’s difficulty in translating their intellectual ability into productivity by their ethnic and linguistic distance from the Canadian mainstream, and by a negative city-specific effect. Regression results using sub-samples categorized by subsequently interacting educational attainments with ethnicity, mother tongue and city of residence support these explanations. I then suggest that assimilation policies targeting the well-educated first and second generation immigrants be designed to promote the acceptance of their human capital by the Canadian labour market.
    Keywords: immigrant, second generation, wages, education, ethnicity, Canada
    JEL: F22 J15 J31 J62
    Date: 2010–08
  7. By: Herani, Gobind M.; Shirazi, Riaz Ahmed
    Abstract: An attempt has been made to summarize the past performance of “Indus Institute of Higher Education” (IIHE) relating to research work already done or being done in its different faculties. In fact this Institute is actively involved in research activities but never reflected them in any correspondence. This Institute is regularly publishing its academic journal with contribution from within the country and qualified researchers from abroad. Four active researchers, of this Institute, are registered and contributing articles in research journals and MPRA working paper series at national and international level. For the students of Bachelors and Masters Research Projects are mandatory for award of Degrees. The Institute has already started M.Phil and Ph.D programs and from the first batch of M.Phil a few students have already submitted their Thesis. The 2nd batch of M.Phil [16 students) is doing its thesis writing. As per HEC’s requirements every faculty have to contribute at least 2 articles at national and international level. In this respect the IIHE has planned to publish one working paper series and four e-journals in the field of textile, engineering and technology, education and economics. The management has decided to make it mandatory for every faculty to contribute at least two research papers/reports per annum. To achieve this objective Research Office has decided to train all the faculty members of the Institute through workshops etc. in order to creating awareness in Faculty members as well as students of MBA, BBA, M.Ed. and B.S.T. to use research-based structure and methodologies that are requisite for M.Phil. Or Ph.D students.
    Keywords: Research Activities; IIHE; Cell; RePEc; Journal
    JEL: I31 I21 O32
    Date: 2010–08
  8. By: Fietze, Simon (University of the Federal Armed Forces Hamburg); Holst, Elke (DIW Berlin); Tobsch, Verena (University of the Federal Armed Forces Hamburg)
    Abstract: The higher the hierarchical level, the fewer women are represented in management positions. Many studies have focused on the influence of human capital and other "objective" factors on career opportunities to explain this phenomenon. We are now looking at the impact of self-reported personality traits on gender differences in career chances and compare women and men in management positions and other white-collar employees in Germany's private sector 2007. While bivariate results based on data from the German Socio-Economic Panel (SOEP) show that there are significant gender differences in personality traits, multivariate estimations and the decomposition of the gender career gap clearly indicate that these differences cannot account for gender differences in career opportunities. The decomposition shows that only 8.6 percent of the inequality of career chances between women and can be explained by differences in personality. Nevertheless, personality traits might indeed play a role, albeit more indirectly: Some of the stronger career effects, such as long working hours, and labour market segregation, can also reflect differences in personality traits. These might have been influenced at an early stage by a gender-biased environment. Our results strongly stress the need for a gender-neutral environment outside and inside companies in order to enforce equal career opportunities for women and men.
    Keywords: personality, gender, career, leadership
    JEL: J16 J44 J71 M12 M14
    Date: 2010–08
  9. By: Gibson, John (University of Waikato); McKenzie, David (World Bank)
    Abstract: Brain drain has long been a common concern for migrant-sending countries, particularly for small countries where high-skilled emigration rates are highest. However, while economic theory suggests a number of possible benefits, in addition to costs, from skilled emigration, the evidence base on many of these is very limited. Moreover, the lessons from case studies of benefits to China and India from skilled emigration may not be relevant to much smaller countries. This paper presents the results of innovative surveys which tracked academic high-achievers from five countries to wherever they moved in the world in order to directly measure at the micro level the channels through which high-skilled emigration affects the sending country. The results show that there are very high levels of emigration and of return migration among the very highly skilled; the income gains to the best and brightest from migrating are very large, and an order of magnitude or more greater than any other effect; there are large benefits from migration in terms of postgraduate education; most high-skilled migrants from poorer countries send remittances; but that involvement in trade and foreign direct investment is a rare occurrence. There is considerable knowledge flow from both current and return migrants about job and study opportunities abroad, but little net knowledge sharing from current migrants to home country governments or businesses. Finally, the fiscal costs vary considerably across countries, and depend on the extent to which governments rely on progressive income taxation.
    Keywords: brain drain, brain gain, highly skilled migration
    JEL: O15 F22 J61
    Date: 2010–08

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