1,721,419 research outputs found
Absolute risk aversion and the returns to education
No full textIndividual absolute risk aversion is measured for a sample of 1373 male household heads, using the 1995 wave of the Survey on the Income and Wealth of Italian households. This measure, conditional on financial and real wealth and household income, is used as an instrument for attained education in a standard log earnings equation. I find that, in line with the literature, the gap between IV and OLS estimates of the returns to education is large
The effect of migration on the school performance of natives : cross country evidence using PISA test scores
Full text linkWe use aggregate PISA data for 19 countries over the period 2000–2009 to study whether a higher share of immigrant pupils affects the school performance of natives. We find evidence of a negative and statistically significant relationship. The size of the estimated effect is small: doubling the share of immigrant pupils in secondary schools from its current sample average of 4.2–8.4 percent would reduce the test score of natives by 1–3.4 percent, depending on the selected group of natives. There is also evidence that – conditional on the average share of immigrant pupils – reducing the dispersion of this share between schools has small positive effects on the test scores of natives. Whether these findings can be generalized to a larger sample of countries is an open question that we leave to future research
The Labor Market Effects of Academic and Vocational Education over the Life Cycle: Evidence Based on a British Cohor
No full textSeveral commentators have argued that the short-term advantage of vocational versus academic education, which is a smoother school-to-work transition, trades off with long-term disadvantages, which are lower employment and/or lower wages. Using data based on the careers of individuals born in the United Kingdom in 1958, we find evidence of a trade-off, but only for real wages and only for the group with lower vocational education. These results are confirmed when the careers of individuals born in 1970 are examined. The presence of a trade-off does not imply, however, that individuals with vocational education have lower long-term utility
The side effect of pension reforms on the training of older workers. Evidence from Italy
No full textDue to pension reforms, minimum retirement age in Italy increased substantially above age 50 between the second part of the 1990s and the early 2000s. We evaluate whether these reforms affected training participation by private sector employees aged 40–54, who entered their fifties during the relevant years. We find evidence of a sizeable effect: our estimates suggest a 9% increase in training incidence following a one-year increase in minimum retirement age. We also show that, while policies that increase the residual working horizon are effective in increasing training participation by senior workers in their forties and early fifties, traditional training policies that aim at reducing training costs by providing subsidies are ineffectiv
Later-borns Don’t Give Up: The Temporary Effects of Birth Order on European Earnings
Full text linkThe existing empirical evidence on the effects of birth order on wages does not distinguish between temporary and permanent effects. Using data from 11 European countries for males born between 1935 and 1956, we show that firstborns enjoy on average a 13.7 % premium in their entry wage compared with later-borns. This advantage, however, is short-lived and disappears 10 years after labor market entry. Although firstborns start with a better job, partially because of their higher education, later-borns quickly catch up by switching earlier and more frequently to better-paying jobs. We argue that a key factor driving our findings is that later-borns have lower risk aversion than firstborns
Educational standards in public and private schools
No full textWhen school quality increases with the educational standard set by schools, education before college
need not be a hierarchy with private schools offering better quality than public schools. In our
model, private schools can offer a lower educational standard at a positive price because they attract
students with a relatively high cost of effort, who would find the high standards of public schools
excessively demanding. We estimate the key parameters of the model and show that majority voting
supports a system where private schools have higher quality in the US and public schools have higher
quality in Italy
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