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Earnings and education in Latin America : assessing priorities for schooling investments

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Author Info
Psacharopoulos, George
Ying Chu Ng

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Abstract

The authors use household survey data for 18 Latin American countries to assess earnings differentials by level of education, and to assess how these differentials changed in the 1980s. Introducing the cost of education allows them to estimate private and social rates of return on investments on education across several dimensions: by gender, by level of education, by sector of employment, by nature of the secondary school curriculum, and over time. The results show that, in most countries, the earnings premium received by graduates of higher education decreased in the 1980s. Investment in primary education shows the highest rate of return among all levels considered - and is still the number one investment priority in most countries.

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Publisher Info
Paper provided by The World Bank in its series Policy Research Working Paper Series with number 1056.

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Date of creation: 31 Dec 1992
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Handle: RePEc:wbk:wbrwps:1056

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Related research
Keywords: Curriculum&Instruction; Teaching and Learning; Gender and Education; Primary Education; Health Monitoring&Evaluation;

References listed on IDEAS
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.:

  1. Psacharopoulos, George & Layard, Richard, 1979. "Human Capital and Earnings: British Evidence and a Critique," Review of Economic Studies, Blackwell Publishing, vol. 46(3), pages 485-503, July. [Downloadable!] (restricted)
  2. Psacharopoulos, George & Steier, Francis, 1988. "Education and the labor market in Venezuela, 1975-1984," Economics of Education Review, Elsevier, vol. 7(3), pages 321-332, June. [Downloadable!] (restricted)
  3. Psacharopoulos, George, 1989. "Time trends of the returns to education: Cross-national evidence," Economics of Education Review, Elsevier, vol. 8(3), pages 225-231, June. [Downloadable!] (restricted)
  4. Gomez-Castellanos, Luisa & Psacharopoulos, George, 1990. "Earnings and education in Ecuador: Evidence from the 1987 household survey," Economics of Education Review, Elsevier, vol. 9(3), pages 219-227, September. [Downloadable!] (restricted)
  5. Fiszbein, Ariel & Psacharopoulos, George, 1993. "A cost-benefit analysis of educational investment in Venezuela: 1989 update," Economics of Education Review, Elsevier, vol. 12(4), pages 293-298, December. [Downloadable!] (restricted)
  6. Kugler, Bernardo & Psacharopoulos, George, 1989. "Earnings and education in Argentina: an analysis of the 1985 Buenos Aires Household Survey," Economics of Education Review, Elsevier, vol. 8(4), pages 353-365, August. [Downloadable!] (restricted)
  7. Velez, Eduardo & Psacharopoulos, George, 1987. "The external efficiency of diversified secondary schools in Colombia," Economics of Education Review, Elsevier, vol. 6(2), pages 99-110, April. [Downloadable!] (restricted)
  8. Psacharopoulos, George & Velez, Eduardo, 1994. "Education and the labor market in Uruguay," Economics of Education Review, Elsevier, vol. 13(1), pages 19-27, March. [Downloadable!] (restricted)
  9. Psacharopoulos, George, 1988. "Education and Development: A Review," World Bank Research Observer, Oxford University Press, vol. 3(1), pages 99-116, January.
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Cited by:
(explanations, 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.)

  1. Paul Bennell, 1996. "Privatization, choice and competition: The World Bank's reform agenda for vocational education and training in sub-Saharan Africa," Journal of International Development, John Wiley & Sons, Ltd., vol. 8(3), pages 467-487.
  2. Lachler, Ulrich, 1998. "Education and earnings inequality in Mexico," Policy Research Working Paper Series 1949, The World Bank. [Downloadable!]
  3. Ruth Judson, 1996. "Do low human capital coefficients make sense? A puzzle and some answers," Finance and Economics Discussion Series 96-13, Board of Governors of the Federal Reserve System (U.S.). [Downloadable!]
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