Differences in Education and Earnings across Racial and Ethnic Groups: Tastes, Discrimination, and Investments in Child Quality
Viewing the United States as comprising many racial and ethnic groups, it is shown that group differences in earnings, schooling, and rates of return from schooling are striking and that the groups with higher levels of schooling also have higher rates of return. These data are shown to be consistent with a child quality in vestment model, but they are not consistent with the hypotheses that the primary determinants of schooling level are discrimination, minor ity group status, differences in time preference (discount rates), or "tastes" for schooling. Group differences in fertility and female labor supply are examined. Copyright 1988, the President and Fellows of Harvard College and the Massachusetts Institute of Technology.
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Volume (Year): 103 (1988)
Issue (Month): 3 (August)
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