Einkommensdifferenziale zwischen Bachelor- und Diplomabsolventen - Humankapital oder Signal?
AbstractDescriptive statistics show that a wage differential between graduates of the newly introduced bachelor programme and those of the traditional so called diplom programme of 7200 EUR per anno exists (Briedis/Minks 2005b). How can we explain this gap? Economic theory offers two contrary theories: human capital and signalling. Both theories claim a positive correlation of education and earnings. However, the theo- ries differ concerning the causal effect of this relationship. In order to determine which theory better explains the observed wage gap, we use the so-called Bologna-Reform (the process of restructuring from diplom- to bachelor-graduates) as a quasi- experimental setting. Our study shows that signalling effects are dominant when ex- amining tertiary education in Germany.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by University of Trier, Department of Economics in its series Research Papers in Economics with number 2011-04.
Length: 29 pages
Date of creation: 2011
Date of revision:
Signalling; human capital; German tertiary education; Bologna-Process;
Find related papers by JEL classification:
- I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Chevalier, Arnaud & Harmon, Colm & Walker, Ian & Zhu, Yu, 2003.
"Does Education Raise Productivity or Just Reflect It?,"
CEPR Discussion Papers
3993, C.E.P.R. Discussion Papers.
- Arnaud Chevalier & Colm Harmon & Ian Walker & Yu Zhu, 2004. "Does Education Raise Productivity, or Just Reflect it?," Economic Journal, Royal Economic Society, vol. 114(499), pages F499-F517, November.
- Arnaud Chevalier & Colm Harmon & Ian Walker & Yu Zhu, 2003. "Does education raise productivity, or just reflect it?," Working Papers 200304, School Of Economics, University College Dublin.
- Garibaldi, Pietro, 2006. "Personnel Economics in Imperfect Labour Markets," OUP Catalogue, Oxford University Press, number 9780199280674.
- Ulla Hämäläinen & Roope Uusitalo, 2008. "Signalling or Human Capital: Evidence from the Finnish Polytechnic School Reform," Scandinavian Journal of Economics, Wiley Blackwell, vol. 110(4), pages 755-775, December.
- Stiglitz, Joseph E, 1975.
"The Theory of "Screening," Education, and the Distribution of Income,"
American Economic Review,
American Economic Association, vol. 65(3), pages 283-300, June.
- Joseph E. Stiglitz, 1973. "The Theory of 'Screening', Education, and the Distribution of Income," Cowles Foundation Discussion Papers 354, Cowles Foundation for Research in Economics, Yale University.
- Riley, John G, 1979. "Testing the Educational Screening Hypothesis," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages S227-52, October.
- Juerg Schweri, 2004. "Does it pay to be a good student? Results from the Swiss graduate labour market," Diskussionsschriften dp0405, Universitaet Bern, Departement Volkswirtschaft.
- Wolpin, Kenneth I, 1977. "Education and Screening," American Economic Review, American Economic Association, vol. 67(5), pages 949-58, December.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Matthias Neuenkirch).
If references are entirely missing, you can add them using this form.