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Title:Returns to Education and Wage Equations PDF Logo
Authors:Pereira, Pedro Telhado
Martins, Pedro Silva
Issue Date:2001
Series/Report no.:IZA Discussion paper series 298
Abstract:We show why considering a number of education-dependent covariates in the wage equation decreases coefficient of education in the wage equation. We use a meta-analysis of results for Portugal to show, empirically, that this is the case. The coefficient decreases when we use covariates that can be considered post education decisions; it is independent of the sample size, tenure and the fact of using hourly or monthly wages. At this stage the use of the simple specification of the Mincer equation for the study of total returns to education continues to hold our support.
Subjects:Human capital
rate of return
educational economics
JEL:C4
I2
J3
Document Type:Working Paper
Appears in Collections:IZA Discussion Papers, Forschungsinstitut zur Zukunft der Arbeit (IZA)

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