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Three measures of returns to education: An illustration for the case of Spain

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  • Arrazola, María
  • de Hevia, José

Abstract

In this article, in a context of wage equations with sample selection, we propose a novel interpretation of the partial effects linked to education as additional measures of returns to education that complement the traditional one, which is directly obtained from the estimation of the wage offer equation. Using European Household Panel data for Spain these partial effects were calculated. The results show that there are incentives in Spain for investing in education not only because it means an increase in wages but also because it raises the probability of obtaining any wage at all.

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  • Arrazola, María & de Hevia, José, 2008. "Three measures of returns to education: An illustration for the case of Spain," Economics of Education Review, Elsevier, vol. 27(3), pages 266-275, June.
    • Handle: RePEc:eee:ecoedu:v:27:y:2008:i:3:p:266-275
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    1. repec:spr:jlabre:v:38:y:2017:i:2:d:10.1007_s12122-017-9242-y is not listed on IDEAS
    2. Manuel Hidalgo-Pérez & Walter García-Fontes, 2014. "Estimating Human Capital Externalities: The Case of the Spanish Provinces, 1995-2010," Working Papers 14.06, Universidad Pablo de Olavide, Department of Economics.
    3. Murillo, Inés P. & Rahona-López, Marta & Salinas-Jiménez, Maria del Mar, 2012. "Effects of educational mismatch on private returns to education: An analysis of the Spanish case (1995–2006)," Journal of Policy Modeling, Elsevier, vol. 34(5), pages 646-659.
    4. NAVARRO-GÓMEZ, María Lucía & RUEDA-NARVÁEZ, Mario F., 2014. "Segregación Laboral Por Género En España: Efectos Sobre Los Salarios Y La Movilidad Salarial," Regional and Sectoral Economic Studies, Euro-American Association of Economic Development, vol. 14(3), pages 131-154.
    5. Lucia Mateos & Ines Murillo & Maria del Mar Salinas, 2014. "Desajuste educativo y competencias cognitivas: efectos sobre los salarios," Hacienda Pública Española, IEF, vol. 210(3), pages 85-108, September.
    6. Tushar Agrawal, 2011. "Returns to education in India: Some recent evidence," Indira Gandhi Institute of Development Research, Mumbai Working Papers 2011-017, Indira Gandhi Institute of Development Research, Mumbai, India.
    7. Ammermueller, Andreas & Kuckulenz, Anja & Zwick, Thomas, 2009. "Aggregate unemployment decreases individual returns to education," Economics of Education Review, Elsevier, vol. 28(2), pages 217-226, April.
    8. repec:eee:jmvana:v:164:y:2018:i:c:p:65-82 is not listed on IDEAS
    9. Lillo-Bañuls, Adelaida & Casado-Díaz, José Manuel, 2011. "Capital humano y turismo: Rendimiento educativo, desajuste y satisfacción laboral/Human Capital and Tourism: Returns to Education, Educational Mismatch and Job Satisfaction," Estudios de Economía Aplicada, Estudios de Economía Aplicada, vol. 29, pages 755-780, Diciembre.
    10. Marta Rahona López & Inés P. Murillo Huertas & María del Mar Salinas Jiménez, 2010. "Incidencia del desajuste educativo en el rendimiento privado de la educación en España," Investigaciones de Economía de la Educación volume 5,in: María Jesús Mancebón-Torrubia & Domingo P. Ximénez-de-Embún & José María Gómez-Sancho & Gregorio Gim (ed.), Investigaciones de Economía de la Educación 5, edition 1, volume 5, chapter 13, pages 267-284 Asociación de Economía de la Educación.
    11. Tamar Khitarishvili, 2010. "Assessing the Returns to Education in Georgia," Economics Working Paper Archive wp_608, Levy Economics Institute.
    12. Jean-Guy LORANGER & Gérard BOISMENU, "undated". "A Dynamic Institutional Analysis with a Macroeconomic Model," EcoMod2010 259600107, EcoMod.
    13. Mario Federico Rueda Narváez & María Lucía Navarro Gómez, 2014. "Una panorámica de género sobre la segregación laboral en España," Investigaciones de Economía de la Educación volume 9,in: Adela García Aracil & Isabel Neira Gómez (ed.), Investigaciones de Economía de la Educación 9, edition 1, volume 9, chapter 53, pages 999-1015 Asociación de Economía de la Educación.
    14. José de Hevia & María Arrazola, 2009. "Marginal effects in the double selection regression model: an illustration for the wages of women in Spain," Economics Bulletin, AccessEcon, vol. 29(2), pages 611-621.
    15. Kamal Vatta & Takahiro Sato, 2012. "Indian Labour Markets and Returns to Education, 1983 to 2009-10," Discussion Paper Series DP2012-33, Research Institute for Economics & Business Administration, Kobe University.
    16. Mª Covadonga De la Iglesia Villasol & Fátima Herranz González, 2015. "El desajuste educativo en España. Una comparativa entre 2007 y 2012," Investigaciones de Economía de la Educación volume 10,in: Marta Rahona López & Jennifer Graves (ed.), Investigaciones de Economía de la Educación 10, edition 1, volume 10, chapter 29, pages 573-596 Asociación de Economía de la Educación.

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