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Human Capital Externalities and Private Returns to Education in Kenya

Author

Listed:
  • Mwangi S. Kimenyi

    () (University of Connecticut)

  • Germano Mwabu

    (University of Nairobi)

  • Damiano Kulundu Manda

    (University of Nairobi)

Abstract

We use survey data of full-time workers in Kenya to analyse the effect of human capital externalities on earnings and private returns to education. The estimation results show that education human capital generally associates with positive externalities, indicating that an increase in education benefits all workers. However, the results reveal that men benefit more from women's education than women do from men's schooling. The effects of human capital externalities on private returns to schooling are shown to vary substantially between rural and urban areas and across primary and higher levels of education.

Suggested Citation

  • Mwangi S. Kimenyi & Germano Mwabu & Damiano Kulundu Manda, 2006. "Human Capital Externalities and Private Returns to Education in Kenya," Eastern Economic Journal, Eastern Economic Association, vol. 32(3), pages 493-513, Summer.
  • Handle: RePEc:eej:eeconj:v:32:y:2006:i:3:p:493-513
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    References listed on IDEAS

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    Cited by:

    1. Bansha Dulal, H. & Foa, R., 2011. "Social Institutions as a Form of Intangible Capital," ISD Working Paper Series 2011-01, International Institute of Social Studies of Erasmus University Rotterdam (ISS), The Hague.
    2. World Bank Group, 2016. "Kenya Country Economic Memorandum," World Bank Other Operational Studies 24008, The World Bank.
    3. Sonia Laszlo, 2005. "Self-employment earnings and returns to education in rural Peru," Journal of Development Studies, Taylor & Francis Journals, vol. 41(7), pages 1247-1287.
    4. Mwangi S. Kimenyi & Francis M. Mwega & Njuguna S.Ndung.u, 2015. "The African Lions: Kenya country case study," WIDER Working Paper Series 134, World Institute for Development Economic Research (UNU-WIDER).
    5. Abdoulaye Diagne & Bity Diene, 2011. "Estimating Returns to Higher Education: A Survey of Models, Methods and Empirical Evidence," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 20(suppl_3), pages -132, August.
    6. Ogundari, Kolawole, 2012. "Returns to Education Revisited and Effects of Education on Household Welfare in Nigeria," 2012 Conference, August 31, 2012, Nelson, New Zealand 136051, New Zealand Agricultural and Resource Economics Society.
    7. World Bank, 2008. "Kenya : Accelerating and Sustaining Inclusive Growth," World Bank Other Operational Studies 18927, The World Bank.
    8. Rob Vos & Arjun Bedi & Paul K. Kimalu & Damiano K. Manda & Nancy N. Nafula & Mwangi S. Kimenyi, 2004. "Achieving Universal Primary Education: Can Kenya Afford it?," Working papers 2004-47, University of Connecticut, Department of Economics.
    9. Chege, By Mwangi, 2015. "Re-inventing Kenya’s university: From a “Graduate-mill” to a development-oriented paradigm," International Journal of Educational Development, Elsevier, vol. 44(C), pages 21-27.
    10. Brent Robert J., 2013. "A cost-benefit framework for evaluating conditional cash-transfer programs," Journal of Benefit-Cost Analysis, De Gruyter, vol. 4(2), pages 159-180, August.
    11. repec:jfr:ijfr11:v:8:y:2017:i:3:p:85-104 is not listed on IDEAS
    12. World Bank, 2009. "Kenya - Poverty and Inequality Assessment : Executive Summary and Synthesis Report," World Bank Other Operational Studies 3081, The World Bank.

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    JEL classification:

    • I20 - Health, Education, and Welfare - - Education - - - General

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