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Rates of Return on Investment in Education: Recent Results for Britain

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  • Adrian Ziderman

Abstract

The paper utilizes the results of an earnings follow-up sample survey to the 1966 Census to calculate for the first time private and social rates of return to education in Britain, based on a national representative sample of educated males. The results are subjected to a number of sensitivity tests on the assumptons made. The generally high private rates of return suggest a considerable degree of private underinvestment in education. Excluding externality effects, the social rates of return estimates seem to indicate a relative overexpansion in the graduate part of the university sector and social underinvestment in part-time, higher level technician training.

Suggested Citation

  • Adrian Ziderman, 1973. "Rates of Return on Investment in Education: Recent Results for Britain," Journal of Human Resources, University of Wisconsin Press, vol. 8(1), pages 85-97.
    • Handle: RePEc:uwp:jhriss:v:8:y:1973:i:1:p:85-97
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    Cited by:

    1. Mahmoud K. Eljafari, 2008. "Patterns of Private Investments in Palestinian Higher Education: Potential and Constraints," Working Papers 442, Economic Research Forum, revised 09 Jan 2008.

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