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The Returns to School Quality: College Choice and Earnings

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  • Wayne Strayer

    (Texas A&M University)

Abstract

This article extends the research on school quality by focusing on the structural effects of high school quality on earnings. I specify a model of college choice and earnings determination that captures two separate effects of school quality on earnings. First, school quality affects a high school student's choice of college. College choice, in turn, affects the individual's postschool earnings. Second, the additional skills accumulated via a higher quality high school directly influence wages. The results suggest that high school quality influences earnings by affecting college choice behavior, while the direct effect of school quality on earnings is less evident.

Suggested Citation

  • Wayne Strayer, 2002. "The Returns to School Quality: College Choice and Earnings," Journal of Labor Economics, University of Chicago Press, vol. 20(3), pages 475-503, July.
    • Handle: RePEc:ucp:jlabec:v:20:y:2002:i:3:p:475-503
    DOI: 10.1086/339674
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    References listed on IDEAS

    as
    1. Card, David & Krueger, Alan B, 1992. "Does School Quality Matter? Returns to Education and the Characteristics of Public Schools in the United States," Journal of Political Economy, University of Chicago Press, vol. 100(1), pages 1-40, February.
    2. Link, Charles R, 1973. "The Quantity and Quality of Education and Their Influence on Earnings: The Case of Chemical Engineers," The Review of Economics and Statistics, MIT Press, vol. 55(2), pages 241-247, May.
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    Cited by:

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    2. Grace Chia & Paul W Miller, 2007. "Tertiary Performance, Field of Study and Graduate Starting Salaries," Economics Discussion / Working Papers 07-12, The University of Western Australia, Department of Economics.
    3. Christian Dustmann & Najma Rajah & Arthur van Soest, 2003. "Class Size, Education, and Wages," Economic Journal, Royal Economic Society, vol. 113(485), pages 99-120, February.
    4. Stepan Zemtsov & Vladimir Eremkin & Vera Barinova, 2015. "Factors of Attractiveness of the Leading Russian Universities Overview of Literature and Econometric Analysis of the Leading Universities," Voprosy obrazovaniya / Educational Studies Moscow, National Research University Higher School of Economics, issue 4, pages 201-233.
    5. Brunello, Giorgio & Checchi, Daniele, 2005. "School quality and family background in Italy," Economics of Education Review, Elsevier, vol. 24(5), pages 563-577, October.
    6. Horstschräer, Julia, 2012. "University rankings in action? The importance of rankings and an excellence competition for university choice of high-ability students," Economics of Education Review, Elsevier, vol. 31(6), pages 1162-1176.
    7. Mohamad Fahmi, 2009. "School Choice and Earnings: A Case of Indonesia," Working Papers in Economics and Development Studies (WoPEDS) 200914, Department of Economics, Padjadjaran University, revised Sep 2009.
    8. Yanchi Liu & Ruixiang Gao & Xixin Lan & Xinyu Zhou & Shiqi Huang & Danying Wu & Qiqi Li & Yujun Zhou & Ning Luo & Huang Zuo & Lei Mo, 2022. "A Comparison of Chinese and European–American University Students’ Virtue and Mind Learning Beliefs and Academic Achievement in Global Cultural Exchange," Sustainability, MDPI, vol. 14(10), pages 1-17, May.

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