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Assessing the returns to studying abroad

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Author Info

  • Hessel Oosterbeek

    ()

  • Dinand Webbink

    ()

Abstract

The market for higher education increasingly becomes an international market. Nowadays, the number of students studying abroad is substantial and increasing. Many governments stimulate students to study abroad by offering a wide range of grants. However, little is known on the returns to studying abroad. This paper explores the feasibility of a new approach for finding credible evidence on the returns to studying abroad. We use a sample of graduates who applied for a specific grant for studying abroad and compare the outcomes of graduates who received the grant with the outcomes of graduates who did not receive the grant. The ranking of the applicants by the selection committee has been used to create credible control groups. We find that the grant has increased the probability of studying abroad with 23 to 42%-points and the duration of the study with 7 to 9 months. An extension of the study with 7 to 9 months increases the probability of living abroad with 30 to 39%-points. Studying abroad is associated with higher wages. However, it is not clear whether these higher wages are caused by studying abroad.

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Bibliographic Info

Paper provided by CPB Netherlands Bureau for Economic Policy Analysis in its series CPB Discussion Paper with number 64.

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Date of creation: May 2006
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Handle: RePEc:cpb:discus:64

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Cited by:
  1. Demange, Gabrielle & Fenge, Robert & Uebelmesser, Silke, 2008. "The Provision of Higher Education in a Global World - Analysis and Policy Implications," CEPREMAP Working Papers (Docweb) 0806, CEPREMAP.
  2. Laura Thissen & Sjef Ederveen, 2006. "Higher education; time for coordination on a European level?," CPB Discussion Paper 68, CPB Netherlands Bureau for Economic Policy Analysis.
  3. Jan Bergerhoff & Lex Borghans & Philipp Seegers & Tom Veen, 2013. "International education and economic growth," IZA Journal of European Labor Studies, Springer, vol. 2(1), pages 1-13, December.
  4. Frederick van der Ploeg & Reinhilde Veugelers, 2007. "Higher Education Reform and the Renewed Lisbon Strategy: Role of Member States and the European Commission," CESifo Working Paper Series 1901, CESifo Group Munich.
  5. Christian Dustmann & Albrecht Glitz, 2011. "Migration and Education," CReAM Discussion Paper Series 1105, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.

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