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Measuring the contribution of education to labour productivity in a developing economy

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  • H.F. Campbell

Abstract

Wage and personal characteristics data from a sample of 205 tuna cannery workers in Madang, Papua New Guinea are used to investigate the contribution of education to labour productivity. A Probit model is used to test the hypothesis that more highly educated workers are more likely to be appointed to skilled positions and the results are used to estimate the value of an additional year of schooling. Regression models are used to estimate the effects of levels of education on the earnings of skilled and unskilled workers, respectively. These models are also used to test for sex discrimination. One conclusion is that an additional year of schooling raises labour productivity by at least 5%.

Suggested Citation

  • H.F. Campbell, 2009. "Measuring the contribution of education to labour productivity in a developing economy," International Journal of Education Economics and Development, Inderscience Enterprises Ltd, vol. 1(2), pages 156-165.
    • Handle: RePEc:ids:ijeded:v:1:y:2009:i:2:p:156-165
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    Cited by:

    1. Muhammad Arshad & Sana Hameed Pasha & Naeem Akram & Nadia Hussain, 2023. "Estimating aggregate economic rate of return to foreign aid in Pakistan," SN Business & Economics, Springer, vol. 3(6), pages 1-19, June.
    2. Samuel Erasmus ALNAA & Juabin MATEY, 2024. "Assessing the Effects of Macroeconomic Variables on Economic Welfare in Ghana," Management and Economics Review, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 9(1), pages 138-157, February.

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