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Long-Run Effects of Catholic Schooling on Wages

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  • Nilhil Jha

    ()
    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

  • Cain Polidano

    ()
    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

Abstract

Previous studies have linked Catholic schooling to higher academic achievement. We add to the literature on Catholic schooling by examining its effect on long-term wage rates in Australia, independent of effects on academic achievement. Using panel data from the Household, Income and Labour Dynamics Australia (HILDA) Survey and fixed effects estimation, we find that during the prime-time of a career, wage rates for Catholic school graduates progress with labor market experience at a greater rate, on average, than wage rates for public school graduates. Importantly, we find no evidence to suggest that these benefits are peculiar to Catholic schooling, with similar benefits estimated for graduates of independent private schools. These findings suggest that private schooling may be important in not only fostering higher academic achievement, but also in better preparing students for a working life.

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Bibliographic Info

Paper provided by Melbourne Institute of Applied Economic and Social Research, The University of Melbourne in its series Melbourne Institute Working Paper Series with number wp2013n39.

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Length: 27pp
Date of creation: Nov 2013
Date of revision:
Handle: RePEc:iae:iaewps:wp2013n39

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Postal: Melbourne Institute of Applied Economic and Social Research, The University of Melbourne, Victoria 3010 Australia
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Web page: http://www.melbourneinstitute.com/
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Keywords: Catholic schooling; wages;

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  1. Brunello, Giorgio & Schlotter, Martin, 2011. "Non Cognitive Skills and Personality Traits: Labour Market Relevance and their Development in Education & Training Systems," IZA Discussion Papers 5743, Institute for the Study of Labor (IZA).
  2. Buly A. Cardak & Joe Vecci, 2013. "Catholic School Effectiveness in Australia: A Reassessment Using Selection on Observed and Unobserved Variables," Working Papers 2013.05, School of Economics, La Trobe University.
  3. George J. Borjas, 1980. "The Relationship between Wages and Weekly Hours of Work: The Role of Division Bias," Journal of Human Resources, University of Wisconsin Press, vol. 15(3), pages 409-423.
  4. Antoni Calv├│-Armengol & Matthew O. Jackson, 2003. "Networks in Labor Markets: Wage and Employment Dynamics and Inequality," Working Papers 55, Barcelona Graduate School of Economics.
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