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Wage Returns to English Proficiency in Poland

Author

Listed:
  • Vera A. Adamchik

    (University of Houston –Victoria)

  • Thomas J. Hyclak

    (Lehigh University)

  • Piotr Sedlak

    (Cracow University of Economics)

  • Larry W. Taylor

    (Lehigh University)

Abstract

We investigate the effect of English language proficiency on the wages of native full-time employees in Poland. Using a unique data set with information on over 600,000 survey respondents polled over the five-year period from 2013 to 2017, we employ an IV approach founded on a natural experiment - namely, the reform of foreign language instruction in Polish schools. Our preferred estimates indicate that monthly wages for those individuals with ‘good’ or ‘very good’ knowledge of English exceeded the wages of those with ‘no English’ (or those with just a conversational proficiency) by nearly 60% for men and more than 50% for women. The estimates are statistically significant for both genders, and suggest quantitatively relevant wage returns for proficiency in English.

Suggested Citation

  • Vera A. Adamchik & Thomas J. Hyclak & Piotr Sedlak & Larry W. Taylor, 2019. "Wage Returns to English Proficiency in Poland," Journal of Labor Research, Springer, vol. 40(3), pages 276-295, September.
    • Handle: RePEc:spr:jlabre:v:40:y:2019:i:3:d:10.1007_s12122-019-09291-2
    DOI: 10.1007/s12122-019-09291-2
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    References listed on IDEAS

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    Cited by:

    1. Bruno Škrinjarić, 2022. "Competence-based approaches in organizational and individual context," Palgrave Communications, Palgrave Macmillan, vol. 9(1), pages 1-12, December.

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    More about this item

    Keywords

    Wage differentials; Human capital; English language competence; Transitional economies;
    All these keywords.

    JEL classification:

    • I26 - Health, Education, and Welfare - - Education - - - Returns to Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • P23 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Factor and Product Markets; Industry Studies; Population

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