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Returns to schooling in Uruguay

Author

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  • Graciela Sanromán

    (Departamento de Economía, Facultad de Ciencias Sociales, Universidad de la República)

Abstract

In this paper we analyze the economic returns to schooling in Uruguay. Instrumental variables are used to estimate mean and quantile regressions. An indicator of whether an Internet connection is available at home is used as an instrument for the years of schooling of the household head. The evidence shows that the simple Mincer OLS estimates are downward biased. When estimates are controlled for measurement error in schooling reports the results indicate that an additional year of schooling increases wage rates by 22 percent.

Suggested Citation

  • Graciela Sanromán, 2006. "Returns to schooling in Uruguay," Documentos de Trabajo (working papers) 1406, Department of Economics - dECON.
  • Handle: RePEc:ude:wpaper:1406
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    File URL: https://hdl.handle.net/20.500.12008/2057
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    References listed on IDEAS

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    Cited by:

    1. Ignacio Munyo, 2015. "The Juvenile Crime Dilemma," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 18(2), pages 201-211, April.
    2. Berlinski, Samuel & Galiani, Sebastian & Manacorda, Marco, 2008. "Giving children a better start: Preschool attendance and school-age profiles," Journal of Public Economics, Elsevier, vol. 92(5-6), pages 1416-1440, June.
    3. Irene Brambilla & Rafael Dix-Carneiro & Daniel Lederman & Guido Porto, 2012. "Skills, Exports, and the Wages of Seven Million Latin American Workers," The World Bank Economic Review, World Bank, vol. 26(1), pages 34-60.
    4. Cid, Alejandro & Ferrés, Daniel, 2010. "The coexistence of Degree-Premium and High-Dropout Rates in the Uruguayan Secondary Education: an Incentives Problem," MPRA Paper 39912, University Library of Munich, Germany.
    5. Oancea, Bogdan & Pospisil, Richard & Dragoescu, Raluca, 2017. "The return to higher education: evidence from Romania," MPRA Paper 81720, University Library of Munich, Germany.
    6. Colacce, Maira & Manzi, Pilar, 2017. "El cuidado de la población uruguaya y la creación del Sistema Nacional Integrado de Cuidados: una mirada de largo plazo," Estudios y Perspectivas – Oficina de la CEPAL en Montevideo 42058, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    7. Alma Espinio, Alina Machado, 2011. "La evolución de la oferta laboral en Uruguay y sus diferencias de género (1991-2009)," Revista CIFE, Universidad Santo Tomás, December.

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    More about this item

    Keywords

    returns to schooling; schooling premium;

    JEL classification:

    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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