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Returns to education: updates for Malaysia

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  • T. -P. Chung
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    Abstract

    This article provides updated returns to education estimates for Malaysia. Current returns as presented in international updates are 32.6 and 34.5 for the secondary and higher education levels. New estimates were obtained using data from the Malaysian Household Income Survey 1997, a nationally represented survey. The findings show that returns to education remain high and positive, in particular, the returns to the higher educational level, encompassing the pre-university qualification and higher education qualifications. Results also display marginal gross returns of 14.1 for those completing the upper secondary education level and 16.4 for those completing the higher education level for the overall sample. By gender, the marginal gross returns for males are 12.0 at the upper secondary level and 18.1 at the higher education level and for females, 15.7 and 16.4 respectively.

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    Bibliographic Info

    Article provided by Taylor & Francis Journals in its journal Applied Economics Letters.

    Volume (Year): 10 (2003)
    Issue (Month): 13 ()
    Pages: 837-841

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    Handle: RePEc:taf:apeclt:v:10:y:2003:i:13:p:837-841

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    1. Psacharopoulos, George & Patrinos, Harry Anthony, 2002. "Returns to investment in education : a further update," Policy Research Working Paper Series 2881, The World Bank.
    2. George Psacharopoulos, 1985. "Returns to Education: A Further International Update and Implications," Journal of Human Resources, University of Wisconsin Press, vol. 20(4), pages 583-604.
    3. Psacharopoulos, George, 1994. "Returns to investment in education: A global update," World Development, Elsevier, vol. 22(9), pages 1325-1343, September.
    4. Colm Harmon & Hessel Oosterbeek, 2000. "The Returns to Education: A Review of Evidence, Issues and Deficiencies in the Literature," CEE Discussion Papers 0005, Centre for the Economics of Education, LSE.
    5. Falaris, Evangelos M, 1995. "The Role of Selectivity Bias in Estimates of the Rate of Return to Schooling: The Case of Married Women in Venezuela," Economic Development and Cultural Change, University of Chicago Press, vol. 43(2), pages 333-50, January.
    6. Arjun Bedi & Noel Gaston, 1997. "Returns to endogenous education: the case of Honduras," Applied Economics, Taylor & Francis Journals, vol. 29(4), pages 519-528.
    7. Siphambe, Happy Kufigwa, 2000. "Rates of return to education in Botswana," Economics of Education Review, Elsevier, vol. 19(3), pages 291-300, June.
    8. M. Idrus & S. Cameron, 2000. "Returns to Education between the Self-employed and Employed Sectors: Evidence from Malaysia," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 39(3), pages 263-268.
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    Cited by:
    1. Ismail, Ramlee, 2007. "The Impact of Schooling Reform on Returns to Education in Malaysia," MPRA Paper 15021, University Library of Munich, Germany, revised 29 Jan 2008.

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