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The Contribution of Canadian Education to Industrial Production

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  • Kitty Mak

Abstract

The issues concerning the economic benefits of education have been of public interest in recent years in Canada. To shed some light on these issues, this study examines the impact of education on the employment and wages of labor, and on the use and price of physical capital in Canada. Cross-sectional industrial data grouped by province for the year 1990 obtained from Statistics Canada are used. Three major findings are obtained: (1) workers disaggregated by levels of educational attainment are substitutes for one another; (2) capital and all labor groups disaggregated by education are complements; and (3) as workers' educational attainments increase, wages become less sensitive to changes in the quantity of workers in the same labor group, in general.

Suggested Citation

  • Kitty Mak, 2000. "The Contribution of Canadian Education to Industrial Production," Education Economics, Taylor & Francis Journals, vol. 8(3), pages 249-257.
    • Handle: RePEc:taf:edecon:v:8:y:2000:i:3:p:249-257
    DOI: 10.1080/096452900750046742
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    1. Vaughan Dickson & William J. Milne & David Murrell, 1996. "Who Should Pay for University Education? Some Net Benefit Results by Funding Source for New Brunswick," Canadian Public Policy, University of Toronto Press, vol. 22(4), pages 315-329, December.
    2. William L. Miller, 1967. "Education as a Source of Economic Growth," Journal of Economic Issues, Taylor & Francis Journals, vol. 1(4), pages 280-296, December.
    3. Robert H. Haveman & Barbara L. Wolfe, 1984. "Schooling and Economic Well-Being: The Role of Nonmarket Effects," Journal of Human Resources, University of Wisconsin Press, vol. 19(3), pages 377-407.
    4. Griliches, Zvi, 1969. "Capital-Skill Complementarity," The Review of Economics and Statistics, MIT Press, vol. 51(4), pages 465-468, November.
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    Cited by:

    1. Alberto Behar, 2005. "Does training benefit those who do not get any? Elasticities of complementarity and factor price in South Africa," Economics Series Working Papers 244, University of Oxford, Department of Economics.
    2. Alberto Behar, 2008. "Does training benefit those who do not get any? Elasticities of complementarity and factor price in South Africa," Working Papers 073, Economic Research Southern Africa.

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