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on Education |
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Issue of 2013‒05‒19
25 papers chosen by Joao Carlos Correia Leitao University of Beira Interior and Technical University of Lisbon |
| By: | Pedraja Chaparro, Francisco; Santín González, Daniel; Simancas Rodríguez, Rosa |
| Abstract: | Since the late 1990s, Spain has played host to a sizeable flow of immigrants who have been absorbed into the compulsory stage of the education system. In this paper, our aim is to assess the impact of that exogenous increase in the number of immigrant students from 2003 to 2009 on grade retention using Spanish data from PISA 2003 and 2009. For this purpose, we use the difference-in-differences method (DiD), capable of detecting whether the immigrant concentration has had a significant effect on student performance. Within this framework, the control group will be the schools without sampled immigrants from 2003 to 2009 and the treatment group will be schools with immigrant students that experienced a significant increase of immigrants throughout this period. As the percentage of immigrants is different across schools, the DiD methodology is adapted to deal with a dose treatment. What we are looking for then is not simply the average effect of there being or not being foreign students at the school, but the effect of their concentration. In this way, the effect of immigrants joining schools can be isolated and estimated through a DiD dose estimator controlling by other educational variables that also influence school performance. Our results evidenced that their arrival does not on average decrease school promotion rates with respect to 2003 and is even beneficial to native students. Although the concentration of immigrant students at the same school does have a negative impact on immigrant students generating more grade retention, native students are unaffected until concentrations of immigrant students are higher. |
| Keywords: | difference in differences, immigration, education, PISA |
| JEL: | H41 I21 |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:46888&r=edu |
| By: | Lutfunnahar Begum; Asadul Islam; Russell Smyth |
| Abstract: | This paper examines the link between the Female Secondary School Stipend Program in Bangladesh, its effects on schooling of girls, and the subsequent impact on the education of their younger siblings. The stipend program was introduced nationwide in 1994, and affected girls in rural areas who were of secondary school age (grades 6-10) in 1994 or later, but not boys of the same cohort. We examine the effect of educational attainment of older siblings on schooling outcomes of younger siblings. We also examine the role of the gender of older siblings on the schooling outcomes of younger siblings. We find that the education of older siblings has a positive effect on the schooling of younger siblings, and that the effect is stronger on younger brothers than on younger sisters. When we take into account the endogeneity of education of older siblings, we find that their gender composition generally has no effect on the schooling attainment of younger siblings. The instrumental variable estimates, using stipend program eligibility as an instrument, suggest that the completed years of schooling by younger siblings would increase by about 0.13 years if the education of older siblings increased by one year. The intent-to-treat effect suggests that the stipend program increased schooling by 2.6 years. This implies about a 10 per cent increase in the schooling of younger siblings if elder siblings participated in the program. Our results suggest that school programs that benefit children's education could bring both short- and long-term gains, not only directly to the affected children, but also indirectly to their siblings. |
| Keywords: | Girls' education, stipend program, siblings' schooling, Bangladesh |
| JEL: | J16 H52 I28 D13 |
| Date: | 2013–05 |
| URL: | http://d.repec.org/n?u=RePEc:mos:moswps:2013-17&r=edu |
| By: | Govert Bijwaard (NIDI, The Hague, IZA, Bonn); Hans van Kippersluis (Erasmus University Rotterdam); Justus Veenman (Erasmus University Rotterdam) |
| Abstract: | We aim to disentangle the relative contributions of (i) cognitive ability, and (ii) education on health and mortality using a structural equation model suggested by Conti et al. (2010). We extend their model by allowing for a duration dependent variable, and an ordinal educational variable. Data come from a Dutch cohort born around 1940, including detailed measures of cognitive ability and family background at age 12. The data are subsequently linked to the mortality register 1995-2011, such that we observe mortality between ages 55 and 75. The results suggest that the treatment effect of education (i.e. the effect of entering secondary school as opposed to leaving school after primary education) is positive and amounts to a 4 years gain in life expectancy, on average. Decomposition results suggest that the raw survival differences between educational groups are about equally split between a 'treatment effect' of education, and a 'selection effect' on basis of cognitive ability and family background. |
| Keywords: | Education, Cognitive Ability, Mortality, Structural Equation Model, Duration Model |
| JEL: | C41 I14 I24 |
| Date: | 2013–03–15 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:uvatin:2013044&r=edu |
| By: | Laura Rosendahl Huber (University of Amsterdam); Randolph Sloof (University of Amsterdam); Mirjam van Praag (University of Amsterdam) |
| Abstract: | The aim of this study is to analyze the effectiveness of early entrepreneurship education. To this end, we conduct a randomized field experiment to evaluate a leading entrepreneurship education program that is taught worldwide in the final grade of primary school. We focus on pupils' development of relevant skill sets for entrepreneurial activity, both cognitive and non-cognitive. The results indicate that cognitive entrepreneurial skills are unaffected by the program. However, the program has a robust positive effect on non-cognitive entrepreneurial skills. This is surprising since previous evaluations found zero or negative effects. Because these earlier studies all pertain to education for adolescents, our result tentatively suggests that non-cognitive entrepreneurial skills are best developed at an early age. |
| Keywords: | Skill formation, field experiment, entrepreneurship education, entrepreneurship |
| JEL: | L26 I21 J24 C93 |
| Date: | 2012–04–20 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:uvatin:2012041&r=edu |
| By: | Hans van Kippersluis (Erasmus University Rotterdam); Owen O'Donnell (Erasmus University Rotterdam, University of Macedonia, Thessaloniki, Greece); Eddy van Doorslaer (Erasmus University Rotterdam) |
| Abstract: | While there is no doubt that health is strongly correlated with education, whether schooling exerts a causal impact on health is not yet firmly established. We exploit Dutch compulsory schooling laws in a Regression Discontinuity Design applied to linked data from health surveys, tax files and the mortality register to estimate the causal effect of education on mortality. The reform provides a powerful instrument, significantly raising years of schooling, which, in turn, has a large and significant effect on mortality even in old age. An extra year of schooling is estimated to reduce the probability of dying between ages of 81 and 88 by 2-3 percentage points relative to a baseline of 50 percent. High school graduation is estimated to reduce the probability of dying between the ages of 81 and 88 by a remarkable 17-26 percentage points but this does not appear to be due to any sheepskin effects of finishing high school on mortality beyond that predicted lin early by additional years of schooling. |
| Keywords: | Health, Mortality, Education, Causality, Regression Discontinuity |
| JEL: | D30 D31 I10 I12 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:uvatin:0000037&r=edu |
| By: | Zwick Th. (GSBE) |
| Abstract: | This paper measures determinants of individual academic achievements. In addition to an extensive list of individual characteristics, skills obtained during study and socio-economic background factors, many dimensions of selectivity into academic study subjects are shown to drive individual academic achievement, such as differences between average student grades during tertiary education or cognitive skills. This paper is based on a large and representative graduate survey of graduates in the academic year 2003/2004 in the German state of Bavaria. |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:umagsb:2013016&r=edu |
| By: | Claire Crawford (Institute for Fiscal Studies); Lorraine Dearden (Institute for Fiscal Studies and Department of Quantitative Social Science, Institute of Education, University of London); Ellen Greaves (Institute for Fiscal Studies) |
| Abstract: | Children born at the end of the academic year have lower educational attainment, on average, than those born at the start of the academic year. Previous research shows that the difference is most pronounced early in pupils’ school lives, but remains evident and statistically significant in high-stakes exams taken at the end of compulsory schooling. To determine the most appropriate policy response, it is vital to understand which of the four possible factors (age at test, age of starting school, length of schooling and relative age without cohort) lead to these differences in attainment between those born at different points in the academic year. However, research to date has been unable to adequately address this problem, as the four potential drivers are all highly correlated with one another, and three of the four form an exact linear relationship (age at test = age of starting school + length of schooling). This paper is the first to apply the principle of maximum entropy to this problem. Using two complementary sources of data we find that a child’s age at the time they take the test is the most important driver of the differences observed, which suggests that age-adjusting national achievement test scores is likely to be the most appropriate policy response to ensure that children born towards the end of the year are not at a disadvantage simply because they are younger when they take their exams. |
| Keywords: | Age-period-cohort problem, maximum entropy, month of birth, relative age, educational attainment |
| JEL: | I21 J24 |
| Date: | 2013–05–13 |
| URL: | http://d.repec.org/n?u=RePEc:qss:dqsswp:1307&r=edu |
| By: | Claire Crawford (Institute for Fiscal Studies); Lorraine Dearden (Institute for Fiscal Studies and Department of Quantitative Social Science, Institute of Education, University of London); Ellen Greaves (Institute for Fiscal Studies) |
| Abstract: | Children born at the end of the academic year have lower educational attainment, on average, than those born at the start of the academic year. Previous research has shown that the difference is most pronounced early in pupils’ school lives, but remains evident and statistically significant in high-stakes exams taken at the end of compulsory schooling. Those born later in the academic year are also significantly less likely to participate in post-compulsory education than those born at the start of the year. We provide the first evidence on whether these differences in childhood outcomes translate into differences in the probability of employment, occupation and earnings for adults in the UK. We also examine whether there are differences in broader measures of well-being such as self-perceived health and mental health. We find that the large and significant differences observed in educational attainment do not lead to pervasive differences in adulthood; those born towards the end of the academic year are more likely to experience unemployment (which is particularly true for females and those that don’t achieve a degree level qualification) but in general there are few substantial or statistically significant differences in terms of occupation, earnings and self-perceived health and mental health. It is not clear why this should be the case, but if employers reward productivity equally as they learn more about their workers, irrespective of their educational attainment, then this lack of significant differences may not be surprising. |
| Keywords: | Month of birth, wages, employment, educational attainment |
| JEL: | I21 J24 |
| Date: | 2013–05–13 |
| URL: | http://d.repec.org/n?u=RePEc:qss:dqsswp:1305&r=edu |
| By: | Dridi, Mohamed |
| Abstract: | The aim of this paper is to focus on corrupt practices that develop within the education sector and the consequences associated with them. Given the fact that most previous studies dealing with the costs of corruption put emphasis only on corruption from public officials, we propose a typology of consequences that allows a comprehensive understanding of the effects related to corrupt practices that could thrive in the education sector. The typology of consequences presented in this paper identifies three types of consequences: those related to the achievement of the goals of access, quality and equality given to the education system, those related to the demand for education and school performance and, those related to the achievement of broader objectives of the education sector and the development of society as a whole. |
| Keywords: | Corruption, Education |
| JEL: | D73 I20 |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:46874&r=edu |
| By: | Paula Herrera (Faculty of Economics, University of Barcelona); Enrique López-Bazo (Faculty of Economics, University of Barcelona); Elisabet Motellón (Faculty of Economics, University of Barcelona) |
| Abstract: | This paper examines the returns to education taking into consideration the existence of educational mismatches in the formal and informal employment of a developing country. Results show that the returns of surplus, required and deficit years of schooling are different in the two sectors. Moreover, they suggest that these returns vary along the wage distribution, and that the pattern of variation differs for formal and informal workers. In particular, informal workers face not only lower returns to their education, but suffer a second penalty associated with educational mismatches that puts them at a greater disadvantage compare to their formal counterparts. |
| Keywords: | Educational Mismatch; Formal/Informal Employment; Economic Development; Wage Gap. JEL classification: O17; J21; J24. |
| Date: | 2013–05 |
| URL: | http://d.repec.org/n?u=RePEc:ira:wpaper:201307&r=edu |
| By: | Kornder N.; Dronkers J.; Dronkers J. (GSBE) |
| Abstract: | We try to explain the differences between the performance (in both reading and math) of 8430 15-year-old daughters and 8526 15-year-old sons in 17 Organisation for Economic Cooperation and Development destination countries across Europe and Oceania with the PISA 2009 data from 45 origin countries or regions. In addition to the level of societal gender equality of the origin and destination countries (the gender empowerment measure, or GEM) we use macro indicators of the educational systems, economic development, and religions of the countries of origin. We find that migrant daughters from countries with higher levels of gender equality have higher reading scores than comparable migrant sons (but this is not the case for math scores). In addition, the higher the level of gender equality in the destination countries, the lower the reading and math scores of both the male and female migrants’ children in their destination countries. Further analyses suggest that the difference between the levels of gender equality, rather than the levels themselves, of the origin and destination countries explains more of the educational performance of both female and male migrant pupils. Our results also show that the low level of gender equality in Islamic origin countries is a sufficient explanation of the low educational performance of Islam male and female migrants’ pupils. Finally, migrants’ daughters seem to perform slightly better educationally than comparable migrants’ sons. |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:umagsb:2013018&r=edu |
| By: | Scott E. Carrell; Bruce Sacerdote |
| Abstract: | We present evidence from an ongoing field experiment in college coaching/ mentoring. The experiment is designed to ask whether mentoring plus cash incentives provided to high school students late in their senior year have meaningful impacts on college going and persistence. For women, we find large impacts on the decision to enroll in college and to remain in college. Intention to treat estimates are an increase in 15 percentage points in the college going rate (against a base rate of 50 percent) while treatment on the treated estimates are 30 percentage points. Offering cash bonuses alone without mentoring has no effect. There are no effects for men in the sample. The absence of effects for men is not explained by an interaction of the program with academic ability, work habits, or family and guidance support for college applications. However, differential returns to college and/or occupational choice may explain some of the differences in treatment effects for men and women. |
| JEL: | I2 |
| Date: | 2013–05 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:19031&r=edu |
| By: | Powdthavee, Nattavudh (London School of Economics); Lekfuangfu, Warn N. (University College London); Wooden, Mark (Melbourne Institute of Applied Economic and Social Research) |
| Abstract: | Many economists and educators favour public support for education on the premise that education improves the overall well-being of citizens. However, little is known about the causal pathways through which education shapes people's subjective well-being (SWB). This paper explores the direct and indirect well-being effects of extra schooling induced through compulsory schooling laws in Australia. We find the net effect of schooling on later SWB to be positive, though this effect is larger and statistically more robust for men than for women. We then show that the compulsory schooling effect on male's SWB is indirect and is mediated through income. |
| Keywords: | schooling, indirect effect, well-being, mental health, windfall income, HILDA survey |
| JEL: | I20 I32 C36 |
| Date: | 2013–04 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp7365&r=edu |
| By: | Juseuk Kim (College of Education, Seoul National University); Lynn Ilon (College of Education, Seoul National University); Jorn Altmann (College of Engineering, Seoul National University) |
| Abstract: | IPhone and Android technology only became available in Korea in 2010, yet today, nearly every student in Korea¡¯s top university carries either an iPhone or Android enabled phone. Students are plugged in and communicating constantly. One Lifelong Learning class investigated the use of smartphones among Education and Engineering students. Both the process of the class and the outcomes of the research reveal much of how the practices of learning are changing in a dynamic, globally-linked university. Their answers to a set of surveys on smartphone use for learning revealed that smartphones were used extensively by all students. Students had a broad definition of how they used their smartphones for learning. Engineering and Education students varied somewhat on how they used their phones for learning. Most interesting, the heavy users of smartphones were not usually the ones who were the most intensive users of apps that most students agreed were most useful for learning. |
| Keywords: | Smartphones, M-learning, Learning Apps, Collective Learning, Seoul National University. |
| JEL: | C42 D83 L86 O33 |
| Date: | 2013–02 |
| URL: | http://d.repec.org/n?u=RePEc:snv:dp2009:2013101&r=edu |
| By: | Blundell, Richard (University College London); Costa Dias, Monica (Institute for Fiscal Studies, London); Meghir, Costas (Yale University); Shaw, Jonathan (Institute for Fiscal Studies, London) |
| Abstract: | We consider the impact of tax credits and income support programs on female education choice, employment, hours and human capital accumulation over the life-cycle. We analyze both the short run incentive effects and the longer run implications of such programs. By allowing for risk aversion and savings, we quantify the insurance value of alternative programs. We find important incentive effects on education choice and labor supply, with single mothers having the most elastic labor supply. Returns to labor market experience are found to be substantial but only for full-time employment, and especially for women with more than basic formal education. For those with lower education the welfare programs are shown to have substantial insurance value. Based on the model, marginal increases to tax credits are preferred to equally costly increases in income support and to tax cuts, except by those in the highest education group. |
| Keywords: | labour supply, human capital, welfare reform |
| JEL: | J22 J24 H31 |
| Date: | 2013–04 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp7375&r=edu |
| By: | Feld, Jan (Maastricht University); Salamanca, Nicolas (Maastricht University); Hamermesh, Daniel S. (University of Texas at Austin, Royal Holloway) |
| Abstract: | The immense literature on discrimination treats outcomes as relative: One group suffers compared to another. But does a difference arise because agents discriminate against others – are exophobic – or because they favor their own kind – are endophilic? This difference matters, as the relative importance of the types of discrimination and their inter-relation affect market outcomes. Using a field experiment in which graders at one university were randomly assigned students' exams that did or did not contain the students' names, on average we find favoritism but no discrimination by nationality, and neither favoritism nor discrimination by gender, findings that are robust to a wide variety of potential concerns. We observe heterogeneity in both discrimination and favoritism by nationality and by gender in the distributions of graders' preferences. We show that a changing correlation between endophilia and exophobia can generate perverse predictions for observed market discrimination. |
| Keywords: | favoritism, discrimination, field experiment, wage differentials, economics of education |
| JEL: | J71 I24 B40 |
| Date: | 2013–05 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp7380&r=edu |
| By: | Peri, Giovanni (University of California, Davis); Shih, Kevin Y. (University of California, Davis) |
| Abstract: | In this paper we analyze the impact of foreign-born workers in the fields of Science, Technology, Engineering and Math (STEM) on employment and wages in Canadian geographical areas during the period 1991-2006. Canadian policies select immigrants with a strong emphasis on high educational attainment. Moreover the foreign-born constitute a third of the Canadian population making Canada a very good case to analyze the effect of foreign-STEM workers on the local economy. We use the dispersion of immigrants by nationality across 17 geographical areas in 1981 to predict the supply-driven increase in foreign Scientists and Engineers during the period 1991-2006. Then we analyze their impact on the employment and wages of college and non-college educated Canadian-born (native) workers. We find significant positive effects on the wages and (to a lesser extent) employment of college educated natives. We also find a smaller positive effect on the wages and employment of native workers with very low levels of education (i.e. those with no high school degree). This implies a positive productivity effect of foreign-STEM workers in Canada, and also a college bias in their contribution to productivity growth. Compared to the effect of foreign Scientists and Engineers in US cities, the Canadian results show similar effects on wages of college educated and at least partial evidence of a positive diffusion of the effect to non-college educated, which was not present in the US. |
| Keywords: | STEM workers, foreign-born, Canadian-born, college-educated, wage, employment |
| JEL: | J61 F22 O33 R10 |
| Date: | 2013–04 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp7367&r=edu |
| By: | Sjoquist, David L. (Georgia State University); Winters, John V. (University of Cincinnati) |
| Abstract: | Since 1991 more than two dozen states have adopted merit-based student financial aid programs, intended at least in part to increase the stock of human capital by improving the knowledge and skills of the state's workforce. At the same time, there has been growing concern that the U.S. is producing too few college graduates in science, technology, engineering, and mathematics (STEM) fields. Using both microdata from the American Community Survey and student records from the University System of Georgia, this paper examines whether recently adopted state merit-aid programs have affected college major decisions, with a focus on STEM fields. We find consistent evidence that state merit programs did in fact reduce the likelihood that a young person in the state will earn a STEM degree. |
| Keywords: | merit aid, HOPE scholarship, college major, STEM |
| JEL: | I23 J24 |
| Date: | 2013–05 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp7381&r=edu |
| By: | Abeler, Johannes (University of Oxford); Nosenzo, Daniele (University of Nottingham) |
| Abstract: | Laboratory experiments have become a wide-spread tool in economic research. Yet, there is still doubt about how well the results from lab experiments generalize to other settings. In this paper, we investigate the self-selection process of potential subjects into the subject pool. We alter the recruitment email sent to first-year students, either mentioning the monetary reward associated with participation in experiments; or appealing to the importance of helping research; or both. We find that the sign-up rate drops by two-thirds if we do not mention monetary rewards. Appealing to subjects' willingness to help research has no effect on sign-up. We then invite the so-recruited subjects to the laboratory to measure a range of preferences in incentivized experiments. We do not find any differences between the three groups. Our results show that student subjects participate in experiments foremost to earn money, and that it is therefore unlikely that this selection leads to an over-estimation of social preferences in the student population. |
| Keywords: | methodology, selection bias, laboratory experiment, field experiment, other-regarding behavior, social preferences, social approval, experimenter demand |
| JEL: | C90 D03 |
| Date: | 2013–04 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp7374&r=edu |
| By: | Negin Salimi; Rudi Bekkers; Koen Frenken |
| Abstract: | Faced with ever-increasing pressure to innovate and perform, firms consider universities as a significant, external source of knowledge. There is a variety of ways through which such knowledge flow can take place, including academic publications, contract research, staff mobility and university patents and licenses, but also more collaborative modes such as joint research projects. This paper focuses on a specific – and promising – collaborative model, in which firms and universities are together involved in a Ph.D. project, carried out by a doctoral candidate. We model the relationship on the one hand on various aspects of governance, and the success of the collaboration on the other. Here, success is operationalized in a number of different ways, including the successful transfer, the application and the commercialization of knowledge. Our model was tested using a survey conducted at the Eindhoven University of Technology. We conclude that governance decisions have a significant impact on the ultimate success. Among other things, the choice of university supervisor plays a pivotal role. Moreover, success is more likely if there is joint decision-making by both university and partner on the content of the project, and communication between the Ph.D. candidate and their supervisor in the firm has a high frequency and quality. We believe our findings can help universities and firms to collaborate successfully. |
| Keywords: | Collaborative Ph.D. projects; governance of university-industry collaborations; collaboration success. |
| Date: | 2013–04 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:tuecis:wpaper:1305&r=edu |
| By: | Stefan P.T. Groot (VU University Amsterdam); Henri L.F. de Groot (VU University Amsterdam, and Ecorys NEI); Paolo Veneri (OECD, Paris) |
| Abstract: | This study analyses the relation between education and commuting behaviour of Dutch workers. Results show that, ceteris paribus, higher educated workers commute further, both in terms of distance and time. In addition, higher educated workers are more frequent users of public transport and of bicycles. Furthermore, we find that higher educated workers are relatively more likely to commute towards agglomerated areas and areas that pay relatively high wages, while they are more likely to live in and commute from areas with higher land rents. |
| Keywords: | commuting, education, urban amenities, agglomeration |
| JEL: | R12 R21 R23 |
| Date: | 2012–07–30 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:uvatin:2012080&r=edu |
| By: | Brañas Garza, Pablo; Espinosa Alejos, María Paz; Giritligil, Ayca E. |
| Abstract: | This study addresses the issue of intergenerational transmission of democratic values embedded in social choice rules. We focus on a few rules which have been the focus of social choice theory: plurality, plurality with a runoff, majoritarian compromise, social compromise and Borda rule. We confront subjects with preferences profiles of a hypothetical electorate over a set of four alternatives. Different rules produce different outcomes and subjects decide which alternative should be chosen for the society whose preference profile is shown. We elicit each subject's preferences over rules and his/her parents' and check whether there is any relationship; 186 students and their parents attended the sessions at Istanbul Bilgi University. Overall, we find support for the hypothesis of parental transmission of democratic values and gender differences in the transmitted rule. |
| Keywords: | experiments, political transmission, democratic values, social choice |
| JEL: | D71 D72 C90 |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:ehu:dfaeii:10013&r=edu |
| By: | Joop Hartog (University of Amsterdam); Michael Sattinger (University at Albany) |
| Abstract: | The paper provides a theoretical foundation for the empirical regularities observed in estimations of wage consequences of overeducation and undereducation. Workers with more education than required for their jobs are observed to suffer wage penalties relative to workers with the same education in jobs that only require their educational level. Similarly, workers with less education than required for their jobs earn wage rewards. These departures from the Mincer human capital earnings function can be explained by Nash bargaining between workers and employers. Under fairly mild assumptions, Nash bargaining predicts a wage penalty for overeducation and a wage reward for undereducation, and further predicts that the wage penalty will exceed the wage reward. This paper reviews the established empirical regularities and then provides Nash bargaining results that explain these regularities. |
| Keywords: | Overeducation, Undereducation, Nash bargaining, Qualitative mismatches, Mincer earnings function, Wages |
| JEL: | J31 J24 C78 C51 |
| Date: | 2012–11–27 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:uvatin:2012129&r=edu |
| By: | M. Shahe Emran; Asadul Islam; Forhad Shilpi |
| Abstract: | This paper provides an analysis of potential unequal burden of bribery in schools on poor households in developing countries. The rich are more likely to pay bribes in the standard model where the probability of punishment for bribe taking by a teacher is the same irrespective of income of the household. This model is, however, not appropriate in the context of a developing country lacking in rule of law, where the ability to punish a corrupt teacher depends on a household's economic status. Bribery is likely to be regressive at the extensive margin in this case. The conditions required for progressivity at the intensive margin are also quite stringent. A significant part of the available empirical evidence, however, finds bribes in developing countries to be progressive, thus contradicting the theoretical predictions above. We argue that this conflict may largely be due to the identification challenges arising from ability and preference heterogeneity. Using ten year average rainfall variations as instrument for household income in rural Bangladesh, we find that corruption is doubly regressive: (i) the poor are more likely to pay bribes (income elasticity [-0.73, -1]), and (ii) among the bribe payers, the poor pay a higher share of their income. The IV results for intensive margin are in contrast to the OLS estimate that shows bribes to be increasing with household income, substantiating the worry about spurious progressive effects. The results imply that ‘free schooling' is free only for the rich, and corruption makes the playing field skewed against the poor. |
| Keywords: | Corruption, Bribes, Education, Schools, Inequality, Income Effect, Bargaining Power, Regressive Effects. |
| JEL: | O15 O12 K42 I2 |
| Date: | 2013–05 |
| URL: | http://d.repec.org/n?u=RePEc:mos:moswps:2013-11&r=edu |
| By: | Grip A. de; Fouarge D.; Künn-Nelen A.C. (GSBE) |
| Abstract: | This paper is the first that analyzes the relation between maternal work hours and the cognitive outcomes of young school-going children. When children attend school, the potential time working mothers miss out with their children, is smaller than when children do not yet attend school. At the same time, working might benefit children through, for example, greater family income. Our study is highly relevant for public policy as in most countries maternal employment rates rise when children enter school. We find no negative relation between maternal working hours and child outcomes as is often found for pre-school aged children. Instead, we find that children's sorting test score is higher when their mothers work part-time (girls) or full-time (boys). Furthermore, we find that planned parent-child activities are positively related to children's language test scores. Nevertheless, we do not find that a richer home environment in terms of the number of parent-child activities provided to the child explain the relation between maternal work hours and children's test scores. |
| Keywords: | Household Behavior: General; |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:umagsb:2013019&r=edu |