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Non-linearities in the returns to education: sheepskin effects or threshold levels of human capital?

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  • Harry Anthony Patrinos

Abstract

Recent findings of non-linearities in the returns to education are cited as evidence of sheepskin effects, but evidence from Guatemala suggests otherwise. While non-linearities in the returns to education exist, it is argued that they are associated with 'threshold' levels.

Suggested Citation

  • Harry Anthony Patrinos, 1996. "Non-linearities in the returns to education: sheepskin effects or threshold levels of human capital?," Applied Economics Letters, Taylor & Francis Journals, vol. 3(3), pages 171-173.
  • Handle: RePEc:taf:apeclt:v:3:y:1996:i:3:p:171-173
    DOI: 10.1080/135048596356609
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    References listed on IDEAS

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    1. Lau, Lawrence J. & Jamison, Dean T. & Louat, Frederic F., 1991. "Education and productivity in developing countries : an aggregate production function approach," Policy Research Working Paper Series 612, The World Bank.
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    Cited by:

    1. Nakabayashi, Masaki, 2011. "Schooling, employer learning, and internal labor market effect: Wage dynamics and human capital investment in the Japanese steel industry, 1930-1960s," MPRA Paper 30597, University Library of Munich, Germany.
    2. Jean-Louis ARCAND & Béatrice D'HOMBRES & Cl. PONDE AVENA, 2002. "Sheepskin Effects in the Returns to Education by Ethnic Group: Evidence from Northeastern Brazil," Working Papers 200226, CERDI.
    3. Aashish Mehta & Hector Villarreal, 2008. "Why do diplomas pay? An expanded Mincerian framework applied to Mexico," Applied Economics, Taylor & Francis Journals, vol. 40(24), pages 3127-3144.
    4. Lin Xiu & Morley Gunderson, 2013. "Credential Effects and the Returns to Education in China," LABOUR, CEIS, vol. 27(2), pages 225-248, June.
    5. Gibson, John & Fatai, Osaiasi Koliniusi, 2006. "Subsidies, selectivity and the returns to education in urban Papua New Guinea," Economics of Education Review, Elsevier, vol. 25(2), pages 133-146, April.
    6. Savanti, Maria Paula & Patrinos, Harry Anthony, 2005. "Rising returns to schooling in Argentina, 1992-2002 : productivity or credentialism?," Policy Research Working Paper Series 3714, The World Bank.
    7. Alejos, Luis Alejandro, 2006. "La elección del sector laboral y los retornos a la educación en Guatemala [Labour Sector Choice and the Returns to Education in Guatemala]," MPRA Paper 42756, University Library of Munich, Germany.
    8. Empar Pons & Juan Blanco, 2005. "Sheepskin Effects in the Spanish Labour Market: A Public-Private Sector Analysis," Education Economics, Taylor & Francis Journals, vol. 13(3), pages 331-347.
    9. Mamun, Shamsul Arifeen Khan & Taylor, Brad R. & Nghiem, Son & Rahman, Mohammad Mafizur & Khanam, Rasheda, 2021. "The private returns to education in rural Bangladesh," International Journal of Educational Development, Elsevier, vol. 84(C).
    10. Olfindo, Rosechin, 2018. "Diploma as signal? Estimating sheepskin effects in the Philippines," International Journal of Educational Development, Elsevier, vol. 60(C), pages 113-119.

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