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Educational expansion and economic decline: returns to education in Kenya, 1978-1995

Author

Listed:
  • Simon Appleton
  • Arne Bigsten
  • Damiano Kulundu Manda

Abstract

Educational expansion followed by economic decline in Kenya has been associated with a decline in the social return to secondary education, conventionally calculated, from 20% in 1978 to 6% in 1995. Wage benefits from primary school have fallen but returns remain unchanged because of correspondingly falls in costs. Returns to tertiary education have not fallen. The concept of expected returns to education is introduced to allow for effects of education on earnings from self-employment and on the probability of employment. These mirror conventionally calculated returns for men, but are higher for women due to large participation effects of education.

Suggested Citation

  • Simon Appleton & Arne Bigsten & Damiano Kulundu Manda, 1999. "Educational expansion and economic decline: returns to education in Kenya, 1978-1995," CSAE Working Paper Series 1999-06, Centre for the Study of African Economies, University of Oxford.
  • Handle: RePEc:csa:wpaper:1999-06
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    File URL: http://www.csae.ox.ac.uk/materials/papers/9906text.PDF
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    References listed on IDEAS

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    1. Appleton, S., 2000. "Education and Health at the Household Level in Sub-Saharan Africa," Papers 33, Chicago - Graduate School of Business.
    2. Gemmell, Norman, 1996. "Evaluating the Impacts of Human Capital Stocks and Accumulation on Economic Growth: Some New Evidence," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 58(1), pages 9-28, February.
    3. Bevan, David & Collier, Paul & Gunning, Jan Willem, 1990. "Peasants and Governments: An Economic Analysis," OUP Catalogue, Oxford University Press, number 9780198286219.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Måns Söderbom & Francis Teal & Anthony Wambugu & Godius Kahyarara, 2006. "The Dynamics of Returns to Education in Kenyan and Tanzanian Manufacturing," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 68(3), pages 261-288, June.
    2. Bigsten , Arne & Levin, Jörgen, 2000. "Growth, Income Distribution, and Poverty: A Review," Working Papers in Economics 32, University of Gothenburg, Department of Economics.

    More about this item

    Keywords

    Education; rates of return; Kenya;

    JEL classification:

    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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