Estimating the return to investments in education: how useful is the standard Mincer equation?

Autor/inn/en	Björklund, Anders; Kjellström, Christian
Titel	Estimating the return to investments in education: how useful is the standard Mincer equation?
Quelle	In: Economics of education review, 21 (2002) 3, S. 195-210Infoseite zur Zeitschrift PDF als Volltext Link als defekt meldenVerfügbarkeit
Beigaben	Literaturangaben 18; Tabellen 10; Grafiken 2
Sprache	englisch; englische Zusammenfassung
Dokumenttyp	online; gedruckt; Zeitschriftenaufsatz
ISSN	0272-7757
DOI	10.1016/S0272-7757(01)00003-6
Schlagwörter	Empirische Untersuchung; Schulbesuch; Messverfahren; Humankapital; Bildungsinvestition; Einkommen; Investition; Berufserfahrung; Schweden
Abstract	The authors examine how well the schooling coefficient in standard Mincer equations [see explanation below!], estimated on Swedish data ... approximates the marginal internal rate of return to education. They find three cases where inference from the estimated schooling coefficient is misleading. First, the decline in return to schooling from 1968 to 1981 is mainly concentrated to college education, whereas the return to high school education is stable. Second, the rate of return is sensitive to the assumption made about the length of working life, or the retirement decision. Third, both the schooling coefficient and the internal rate of return give midleading information about the value of adult education. By comparing the present value of lifetime earnings between youth and adult education, one finds large differences in favor of youth education, even though the schooling coefficient and the intenal rate of return are the same. (DIPF/orig.)
Erfasst von	DIPF \| Leibniz-Institut für Bildungsforschung und Bildungsinformation, Frankfurt am Main
Update	2003_(CD)