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State-level heterogeneity in returns to secondary schooling in West Germany

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  • Miriam Maeder

Abstract

This study focuses on the determinants of regional heterogeneity in returns to schooling. School quality, labor market characteristics, and amenities are potential determinants of regional differences. In contrast to previous research, this study jointly evaluates the contribution of the different mechanisms. I find that returns to schooling differ substantially across the West German states, and correlate mainly with institutional features of the school system. A strong positive association between qualitative differences (e.g., curricula contents or teachers’ training) and returns to schooling shows that these qualitative aspects may be powerful policy instruments.

Suggested Citation

  • Miriam Maeder, 2014. "State-level heterogeneity in returns to secondary schooling in West Germany," Working Papers 147, Bavarian Graduate Program in Economics (BGPE).
    • Handle: RePEc:bav:wpaper:147_maeder
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    File URL: http://www.bgpe.de/texte/DP/147_Maeder.pdf
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    More about this item

    Keywords

    Returns to schooling; state-level heterogeneity; school quality;
    All these keywords.

    JEL classification:

    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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