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Education, Variation in Earnings, and Nonmonetary Compensation


  • Alan D. Mathios


The NAS-NRC Twin Offspring data support the proposition that for those with low levels of education, earnings may be an adequate proxy for compensation, whereas the opposite holds for highly educated individuals. The inclusion of variables that control for reasons (monetary or nonmonetary) individuals chose their occupation explains an additional 9 percent of the variation in earnings for those with 16 or more years of education (and lowers the male female wage gap by almost 40 percent) and only an additional 2 percent for those with 15 years or less (no affect on male-female wage gap).

Suggested Citation

  • Alan D. Mathios, 1989. "Education, Variation in Earnings, and Nonmonetary Compensation," Journal of Human Resources, University of Wisconsin Press, vol. 24(3), pages 456-468.
  • Handle: RePEc:uwp:jhriss:v:24:y:1989:i:3:p:456-468

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    References listed on IDEAS

    1. Richard Burkhauser & Karen Holden & Daniel Myers, 1986. "Marital disruption and poverty: The role of survey procedures in artificially creating poverty," Demography, Springer;Population Association of America (PAA), vol. 23(4), pages 621-631, November.
    2. Duncan, Greg J & Gustafsson, Bjorn & Hauser, Richard & Schmauss, Gunther & Messinger, Hans & Muffels, Ruud & Nolan, Brian, 1993. "Poverty Dynamics in Eight Countries," Journal of Population Economics, Springer;European Society for Population Economics, vol. 6(3), pages 215-234.
    3. Stephen P. Jenkins & Christian Schluter & Gert G. Wagner, 2001. "The Dynamics of Child Poverty: Britain and Germany Compared," Discussion Papers of DIW Berlin 233, DIW Berlin, German Institute for Economic Research.
    4. Jenkins, Stephen P. & Schluter, Christian, 2001. "Why are child poverty rates higher in Britain than in Germany? a longitudinal perspective -working paper-," ISER Working Paper Series 2001-16, Institute for Social and Economic Research.
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    Cited by:

    1. Josse Delfgaauw, 2005. "Where to go? Workers' Reasons to quit and Intra- versus Interindustry Job Mobility," Tinbergen Institute Discussion Papers 05-027/1, Tinbergen Institute, revised 08 Aug 2005.
    2. repec:spr:anresc:v:59:y:2017:i:3:d:10.1007_s00168-015-0728-3 is not listed on IDEAS
    3. Delfgaauw, Josse, 2007. "The effect of job satisfaction on job search: Not just whether, but also where," Labour Economics, Elsevier, vol. 14(3), pages 299-317, June.
    4. Wells, Robert, 2010. "An examination of the utility bearing characteristics of occupations: A factor analytical approach," Economics Letters, Elsevier, vol. 108(3), pages 296-298, September.
    5. Rafael Muñoz de Bustillo & Enrique Fernández-Macías & José-Ignacio Antón & Fernando Esteve, 2011. "Measuring More than Money," Books, Edward Elgar Publishing, number 14072.
    6. Garcia-Aracil, Adela & Winter, Carolyn, 2006. "Gender and ethnicity differentials in school attainment and labor market earnings in Ecuador," World Development, Elsevier, vol. 34(2), pages 289-307, February.
    7. Maria Abreu & Alessandra Faggian & Philip McCann, 2011. "Migration and inter-industry mobility of UK graduates: Effect on earnings and career satisfaction," ERSA conference papers ersa11p118, European Regional Science Association.

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