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Estimating the returns to education in Argentina : 1992-2002

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  • Giovagnoli, Paula Ines
  • Fiszbein, Ariel
  • Patrinos, Harry Anthony

Abstract

The authors estimate returns to schooling in urban Argentina for a 10-year period. In addition to comparable earnings functions, they also estimate the returns using quantile regression analysis to detect differences in the returns across the distribution. Over time, men in higher quantiles have higher returns to schooling compared with those in the lower quantiles. For women, returns are highest at the lowest quantile. The returns to education increased during the past decade. The authors do not rule out that increased demand for skills is driving the increasing returns over the decade.

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Bibliographic Info

Paper provided by The World Bank in its series Policy Research Working Paper Series with number 3715.

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Date of creation: 01 Sep 2005
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Handle: RePEc:wbk:wbrwps:3715

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  1. Fersterer, Josef & Winter-Ebmer, Rudolf, 1999. "Are Austrian Returns to Education Falling Over Time?," IZA Discussion Papers 72, Institute for the Study of Labor (IZA).
  2. Psacharopoulos, George & Patrinos, Harry Anthony, 2002. "Returns to investment in education : a further update," Policy Research Working Paper Series 2881, The World Bank.
  3. Robert J. Barro & Jong-Wha Lee, 2000. "International Data on Educational Attainment: Updates and Implications," CID Working Papers 42, Center for International Development at Harvard University.
  4. Xulia GonzÂlez & Daniel Miles, 2001. "Wage inequality in a developing country: decrease in minimum wage or increase in education returns," Empirical Economics, Springer, vol. 26(1), pages 135-148.
  5. Sebastian Galiani & Pablo Sanguinetti, 2003. "The Impact of Trade Liberalization on Wage Inequality: Evidence from Argentina," Working Papers 65, Universidad de San Andres, Departamento de Economia, revised Oct 2003.
  6. Schultz, T.P. & Mwabu, G., 1995. "Education Returns Across Quantiles of the Wage Function: Alternative Explanation for Returns to Education by Race in South Africa," Papers 744, Yale - Economic Growth Center.
  7. Kevin Denny & Vincent O'Sullivan, 2004. "Can education compensate for low ability? Evidence from British data," IFS Working Papers W04/19, Institute for Fiscal Studies.
  8. Evangelos M. Falaris, 2004. "A Quantile Regression Analysis of Wages in Panama," Working Papers 04-01, University of Delaware, Department of Economics.
  9. Koenker,Roger, 2005. "Quantile Regression," Cambridge Books, Cambridge University Press, number 9780521608275.
  10. Psacharopoulos, George, 1994. "Returns to investment in education: A global update," World Development, Elsevier, vol. 22(9), pages 1325-1343, September.
  11. Wambugu, Anthony, 2002. "Real Wages and Returns to Human Capital in Kenya Manufacturing firms," Working Papers in Economics 75, University of Gothenburg, Department of Economics.
  12. John Knight & Lina Song, 2003. "Increasing urban wage inequality in China," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 11(4), pages 597-619, December.
  13. Heckman, James J, 1979. "Sample Selection Bias as a Specification Error," Econometrica, Econometric Society, vol. 47(1), pages 153-61, January.
  14. Chiswick, Barry R., 1997. "Interpreting the coefficient of schooling in the human capital earnings function," Policy Research Working Paper Series 1790, The World Bank.
  15. Moshe Buchinsky, 1998. "The dynamics of changes in the female wage distribution in the USA: a quantile regression approach," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 13(1), pages 1-30.
  16. Sanchez-Paramo, Carolina & Schady, Norbert, 2003. "Off and running? Technology, trade and the rising demand for skilled workers in Latin America," Policy Research Working Paper Series 3015, The World Bank.
  17. Martins, Pedro S. & Pereira, Pedro T., 2004. "Does education reduce wage inequality? Quantile regression evidence from 16 countries," Labour Economics, Elsevier, vol. 11(3), pages 355-371, June.
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Cited by:
  1. Demombynes, Gabriel & Metzler, Johannes, 2008. "Connecting the unobserved dots : a decomposition analysis of changes in earnings inequality in urban Argentina, 1980-2002," Policy Research Working Paper Series 4624, The World Bank.
  2. López Bóo, Florencia, 2010. "In School or at Work? Evidence from a Crisis," IZA Discussion Papers 4692, Institute for the Study of Labor (IZA).
  3. López Bóo, Florencia, 2010. "Returns to Education and Macroeconomic Shocks: Evidence from Argentina," IZA Discussion Papers 4753, Institute for the Study of Labor (IZA).

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