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The payoff to school selectivity: An application of Dale and Krueger’s method to MBA programs

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  • Chen, Weiwei
  • Grove, Wayne A.
  • Hussey, Andrew

Abstract

Many studies find a notable return to college quality. Dale and Krueger (2002, 2011) only do until they address selection bias concerns by proxying for ambition and by matching students with similar admission outcomes but different matriculation decisions. Although we employ similar methodologies to Dale and Krueger, we find substantial returns to MBA program selectivity.

Suggested Citation

  • Chen, Weiwei & Grove, Wayne A. & Hussey, Andrew, 2012. "The payoff to school selectivity: An application of Dale and Krueger’s method to MBA programs," Economics Letters, Elsevier, vol. 116(2), pages 247-249.
  • Handle: RePEc:eee:ecolet:v:116:y:2012:i:2:p:247-249
    DOI: 10.1016/j.econlet.2012.03.008
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    References listed on IDEAS

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    1. Long, Mark C., 2010. "Changes in the returns to education and college quality," Economics of Education Review, Elsevier, vol. 29(3), pages 338-347, June.
    2. Dale, Stacy & Krueger, Alan B., 2011. "Estimating the Return to College Selectivity over the Career Using Administrative Earning Data," IZA Discussion Papers 5533, Institute for the Study of Labor (IZA).
    3. Long, Mark C., 2008. "College quality and early adult outcomes," Economics of Education Review, Elsevier, vol. 27(5), pages 588-602, October.
    4. Stacy Berg Dale & Alan B. Krueger, 2002. "Estimating the Payoff to Attending a More Selective College: An Application of Selection on Observables and Unobservables," The Quarterly Journal of Economics, Oxford University Press, vol. 117(4), pages 1491-1527.
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    Cited by:

    1. Walker, Ian & Zhu, Yu, 2017. "University Selectivity and the Graduate Wage Premium: Evidence from the UK," IZA Discussion Papers 10536, Institute for the Study of Labor (IZA).
    2. Walker, Ian & Zhu, Yu, 2017. "University Selectivity and the Relative Returns to Higher Education: Evidence from the UK," GLO Discussion Paper Series 133, Global Labor Organization (GLO).
    3. Milla, Joniada, 2017. "The Context-Bound University Selectivity Premium," IZA Discussion Papers 11025, Institute for the Study of Labor (IZA).

    More about this item

    Keywords

    Rate of return; School quality; Matching; MBA; Admission outcomes; Higher education;

    JEL classification:

    • I2 - Health, Education, and Welfare - - Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J1 - Labor and Demographic Economics - - Demographic Economics

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