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English language premium: Evidence from a policy experiment in India

Author

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  • Chakraborty, Tanika
  • Bakshi, Shilpi Kapur

Abstract

In this paper, we estimate the English premium in a globalizing economy, by exploiting an exogenous language policy intervention in India that abolished teaching of English in public primary schools. Our results indicate that a 10% lower probability of learning English in primary schools leads to a decline in weekly wages by 8%. On an average, this implies 26% lower wages for cohorts exposed to the policy change. We find supporting evidence that occupational choice played an important role in determining this wage-gap.

Suggested Citation

  • Chakraborty, Tanika & Bakshi, Shilpi Kapur, 2016. "English language premium: Evidence from a policy experiment in India," Economics of Education Review, Elsevier, vol. 50(C), pages 1-16.
  • Handle: RePEc:eee:ecoedu:v:50:y:2016:i:c:p:1-16
    DOI: 10.1016/j.econedurev.2015.10.004
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    References listed on IDEAS

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    Cited by:

    1. Cappellari, Lorenzo & Di Paolo, Antonio, 2018. "Bilingual schooling and earnings: Evidence from a language-in-education reform," Economics of Education Review, Elsevier, vol. 64(C), pages 90-101.
    2. Jain, Tarun & Maitra, Pushkar & Mani, Subha, 2019. "Barriers to skill acquisition: Evidence from English training in India," World Development, Elsevier, vol. 114(C), pages 314-325.
    3. Cabrera Hernández, Francisco-Javier, 2016. "Essays on the impact evaluation of education policies in Mexico," Economics PhD Theses 0316, Department of Economics, University of Sussex Business School.
    4. repec:eee:chieco:v:54:y:2019:i:c:p:1-11 is not listed on IDEAS
    5. repec:bla:buecrs:v:70:y:2018:i:2:p:139-149 is not listed on IDEAS

    More about this item

    Keywords

    English premium; Language; Triple difference; Education policy; Wage; Occupation;

    JEL classification:

    • H4 - Public Economics - - Publicly Provided Goods
    • I2 - Health, Education, and Welfare - - Education
    • J0 - Labor and Demographic Economics - - General
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development

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