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The effect of school inputs on labor market returns that account for selective migration

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  • McHenry, Peter

Abstract

In this paper, I estimate the effect of state school inputs on labor market returns to schooling. The method follows Card and Krueger (1992) and Heckman et al. (1996), but I extend their analysis in two ways. First, I correct state-level returns to schooling for selective migration, adapting a method from Dahl (2002). Second, I use more recent data and assess the degree to which the 1999 labor market capitalized school inputs (with 2000 Census data). Higher state-level school inputs are associated with higher returns to schooling after correcting for selective migration. These positive effects are present in all Census years I study.

Suggested Citation

  • McHenry, Peter, 2011. "The effect of school inputs on labor market returns that account for selective migration," Economics of Education Review, Elsevier, vol. 30(1), pages 39-54, February.
    • Handle: RePEc:eee:ecoedu:v:30:y:2011:i:1:p:39-54
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    3. Tyler Ransom, 2021. "Selective Migration, Occupational Choice, and the Wage Returns to College Majors," Annals of Economics and Statistics, GENES, issue 142, pages 45-110.

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