Using a dataset that allows consistent cross-country comparisons we test the non-linearity in a conventional earnings equation with respect to schooling. The findings suggest that assumption of linearity is not robust and that there are well determined positive returns to the completion of educational levels. However inferences are sensitive to the choice of functional form.
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Paper provided by College Dublin, Department of Political Economy- in its series Papers with number
99/21.
Length: 5 pages Date of creation: 1999 Date of revision: Handle: RePEc:fth:dublec:99/21
Contact details of provider: Postal: Ireland; University College Dublin, Department of Political Economy, Centre for Economic Research, Belfield, Dublin 4 Phone: +353-1-7067777 Fax: +353-1-283 0068 Web page: http://www.ucd.ie/economics/ More information through EDIRC
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Find related papers by JEL classification: D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution C12 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General - - - Hypothesis Testing
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