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Returns to Foreign Education. Yet another but different cross country analysis

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  • Max Grütter
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    Abstract

    The main interest of this paper is to compare the value of education systems of different countries. For this reason I use data on workers who have completed their education before immigrating to Switzerland to estimate a country specific return to education. I estimate the standard Mincer-equation with the extension that I additionally allow for country specific returns to education. Results show that there are important differences between the returns to different education systems within Switzerland in the value of the basic education on the one hand and the return to an additional year of education on the other hand.

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    Bibliographic Info

    Paper provided by Institute for Empirical Research in Economics - University of Zurich in its series IEW - Working Papers with number 246.

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    Handle: RePEc:zur:iewwpx:246

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    Keywords: return to education; immigration; international comparison;

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    1. David Card, 1994. "Earnings, Schooling, and Ability Revisited," NBER Working Papers 4832, National Bureau of Economic Research, Inc.
    2. Francine D. Blau & Lawrence M. Kahn, 2001. "Do Cognitive Test Scores Explain Higher US Wage Inequality?," NBER Working Papers 8210, National Bureau of Economic Research, Inc.
    3. George Psacharopoulos & Harry Anthony Patrinos, 2004. "Returns to investment in education: a further update," Education Economics, Taylor & Francis Journals, vol. 12(2), pages 111-134.
    4. Augustin de Coulon, 2001. "Wage Differentials between Ethnic Groups in Switzerland," LABOUR, CEIS, vol. 15(1), pages 111-132, 03.
    5. Philipp Bauer & Regina Riphahn, 2007. "Heterogeneity in the intergenerational transmission of educational attainment: evidence from Switzerland on natives and second-generation immigrants," Journal of Population Economics, Springer, vol. 20(1), pages 121-148, February.
    6. Heckman, James J, 1979. "Sample Selection Bias as a Specification Error," Econometrica, Econometric Society, vol. 47(1), pages 153-61, January.
    7. Spence, A Michael, 1973. "Job Market Signaling," The Quarterly Journal of Economics, MIT Press, vol. 87(3), pages 355-74, August.
    8. Borjas, George J, 1992. "Ethnic Capital and Intergenerational Mobility," The Quarterly Journal of Economics, MIT Press, vol. 107(1), pages 123-50, February.
    9. Oaxaca, Ronald, 1973. "Male-Female Wage Differentials in Urban Labor Markets," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October.
    10. Blackburn, McKinley L & Neumark, David, 1993. "Omitted-Ability Bias and the Increase in the Return to Schooling," Journal of Labor Economics, University of Chicago Press, vol. 11(3), pages 521-44, July.
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