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http://hdl.handle.net/10419/24434
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| Title: | | Family and gender still matter: the heterogeneity of returns to education in Germany  |
| Authors: | | Schnabel, Reinhold Schnabel, Isabel |
| Issue Date: | | 2002 |
| Series/Report no.: | | ZEW Discussion Papers 02-67 |
| Abstract: | | Using information on family background, we estimate returns to education, allowing for the heterogeneity of returns. In order to control for the unobserved heterogeneity shared by family members, we construct a siblings sample and employ family fixed-effects and family correlated random-effects models. Our main result is that family background still matters despite the substantial political efforts to equalize educational opportunities in Germany. Persons with less-educated parents earn lower wages, but have higher returns to education. This supports the view that persons from less-educated backgrounds still face higher marginal costs in the educational system. The same interplay between the wage level and marginal returns is found for the effect of gender and cohort. |
| Subjects: | | Returns to education siblings analysis heterogeneity of returns |
| JEL: | | J31 C23 |
| Document Type: | | Working Paper |
| Appears in Collections: | | Publikationen von Forscherinnen und Forschern des ZEW ZEW Discussion Papers
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