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Early Labour Market Returns to College Subject

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Author Info
Paolo Buonanno ()
Dario Pozzoli ()

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Abstract

This paper aims at estimating early labour market returns (i.e. participation probability, employment probability and log hourly earnings) of Italian university graduates across college subjects. We devote great attention to endogenous selection issues using alternative methods to control for potential self-selection associated with the choice of the degree subject in order to unravel the causal link between college major and subsequent outcomes in the labour market. We use both a propensity score matching-average treatment on the treated method and the polychotomous selectivity model introduced by Lee (1983) to investigate the existence of unobserved heterogeneity. Our results suggest that "quantitative" fields (i.e. Sciences, Engineering and Economics) increase not only participation to the labour market and employment probability but also early earnings, conditional on employment.

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File URL: http://wwwdata.unibg.it/dati/bacheca/670/27875.pdf
File Format: application/pdf
File Function: Version, 08-2007
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Publisher Info
Paper provided by University of Bergamo, Department of Economics in its series Working Papers with number 0705.

Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Length: 32 pages
Date of creation: Aug 2007
Date of revision:
Handle: RePEc:brg:wpaper:0705

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Postal: Piazza Rosate, 2 - 24129 BERGAMO
Web page: http://www.unibg.it/struttura/struttura.asp?cerca=dse_intro
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For technical questions regarding this item, or to correct its listing, contact: (Paolo Buonanno).

Related research
Keywords: University to work transition; college subject; self-selection; returns to education;

Other versions of this item:

Find related papers by JEL classification:
C34 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Truncated and Censored Models
J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
I21 - Health, Education, and Welfare - - Education - - - Analysis of Education

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References listed on IDEAS
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    Other versions:
  12. Blundell, Richard, et al, 2000. "The Returns to Higher Education in Britain: Evidence from a British Cohort," Economic Journal, Royal Economic Society, vol. 110(461), pages F82-99, February. [Downloadable!] (restricted)
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  15. Linda Datcher Loury, 1997. "The gender gap among college-educated workers," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 50(4), pages 580-593, July.
  16. Michael Lechner, 2002. "Some practical issues in the evaluation of heterogeneous labour market programmes by matching methods," Journal Of The Royal Statistical Society Series A, Royal Statistical Society, vol. 165(1), pages 59-82. [Downloadable!] (restricted)
    Other versions:
  17. Alberto Abadie & Guido W. Imbens, 2006. "Large Sample Properties of Matching Estimators for Average Treatment Effects," Econometrica, Econometric Society, vol. 74(1), pages 235-267, 01. [Downloadable!] (restricted)
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    Other versions:
  19. Michael Lechner, 1999. "Identification and Estimation of Causal Effects of Multiple Treatments Under the Conditional Independence Assumption," IZA Discussion Papers 91, Institute for the Study of Labor (IZA). [Downloadable!]
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This page was last updated on 2009-11-25.


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