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Whither human capital? The woeful tale of transition to tertiary education in India

  • Manisha Chakrabarty
  • Sumon Kumar Bhaumik

In this article, we examine the issue of high dropout rates in India which has adverse implications for human capital formation and hence for the country's long-term growth potential. Using the 2004--2005 National Sample Survey (NSS) employment--unemployment data, we estimate transition probabilities of moving from a number of different educational levels to higher educational levels using a sequential logit model. Our results suggest that the overall probability of reaching tertiary education is very low. Further, even by the woeful overall standards, women are significantly worse off, particularly in rural areas.

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Article provided by Taylor & Francis Journals in its journal Applied Economics Letters.

Volume (Year): 19 (2012)
Issue (Month): 9 (June)
Pages: 835-838

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Handle: RePEc:taf:apeclt:v:19:y:2012:i:9:p:835-838
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  1. Black, Sandra E & Lynch, Lisa M, 1996. "Human-Capital Investments and Productivity," American Economic Review, American Economic Association, vol. 86(2), pages 263-67, May.
  2. Sarmistha Pal, 2004. "Child schooling in Peru: Evidence from a sequential analysis of school progression," Journal of Population Economics, Springer, vol. 17(4), pages 657-680, December.
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  4. Card, David, 1999. "The causal effect of education on earnings," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 30, pages 1801-1863 Elsevier.
  5. Sumon Kumar Bhaumik & Manisha Chakrabarty, 2008. "Is Education the Panacea for Economic Deprivation of Muslims? Evidence from Wage Earners in India, 1987-2004," CEDI Discussion Paper Series 08-02, Centre for Economic Development and Institutions(CEDI), Brunel University.
  6. Bargain, Olivier & Bhaumik, Sumon K. & Chakrabarty, Manisha & Zhao, Zhong, 2008. "Earnings Differences between Chinese and Indian Wage Earners, 1987–2004," IZA Discussion Papers 3284, Institute for the Study of Labor (IZA).
  7. Tansel, Aysit, 2002. "Determinants of school attainment of boys and girls in Turkey: individual, household and community factors," Economics of Education Review, Elsevier, vol. 21(5), pages 455-470, October.
  8. Cleland, John G. & van Ginneken, Jerome K., 1988. "Maternal education and child survival in developing countries: The search for pathways of influence," Social Science & Medicine, Elsevier, vol. 27(12), pages 1357-1368, January.
  9. Tansel, Aysit, 1997. "Schooling Attainment, Parental Education, and Gender in Cote d'Ivoire and Ghana," Economic Development and Cultural Change, University of Chicago Press, vol. 45(4), pages 825-56, July.
  10. Robert J. Barro, 2001. "Human Capital and Growth," American Economic Review, American Economic Association, vol. 91(2), pages 12-17, May.
  11. Sumon Kumar Bhaumik & Manisha Chakrabarty, 2008. "Does move to market have an impact on earnings gap across gender? Some evidence from India," Applied Economics Letters, Taylor & Francis Journals, vol. 15(8), pages 601-605.
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