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Returns to Schooling in Egypt

Author

Listed:
  • Ragui Assaad

    (University of Minnesota)

  • Abdurrahman Aydemir
  • Meltem Dayioglu
  • Guray Kirdar

Abstract

This paper estimates the returns to schooling in Egypt using a policy reform that reduced primary school from 6 to 5 years. As a result of this reform, which was implemented in 1988, compulsory schooling declined from 9 to 8 years. The results indicate that the reform led to a substantial decline in completed years of schooling among the affected cohorts. We exploit this policy change to estimate the causal impact of schooling on wages and find that among men ages 20 to 45 the return of schooling is between 2.0 to 5.7 percent. These estimated returns are much lower than the wage returns estimated in other developing countries with the exception of Turkey where returns to schooling are found to be similarly low.

Suggested Citation

  • Ragui Assaad & Abdurrahman Aydemir & Meltem Dayioglu & Guray Kirdar, 2016. "Returns to Schooling in Egypt," Working Papers 1000, Economic Research Forum, revised May 2016.
    • Handle: RePEc:erg:wpaper:1000
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    References listed on IDEAS

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    1. Jörn-Steffen Pischke & Till von Wachter, 2008. "Zero Returns to Compulsory Schooling in Germany: Evidence and Interpretation," The Review of Economics and Statistics, MIT Press, vol. 90(3), pages 592-598, August.
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    Cited by:

    1. Pellicer, Miquel, 2018. "The evolution of returns to education in the Middle East and North Africa: Evidence from comparable education policy changes in Tunisia," Economics of Education Review, Elsevier, vol. 62(C), pages 183-191.
    2. Imed Limam & Abdelwahab Ben Hafaiedh, 2017. "Education, Earnings and Returns to Schooling in Tunisia," Working Papers 1162, Economic Research Forum, revised 12 Jun 2017.
    3. Zafiris Tzannatos & Ishac Diwan & Joanna Abdel Ahad, 2016. "Rates of Return to Education in Twenty Two Arab Countries: an Update and Comparison Between MENA and the Rest of the World," Working Papers 1007, Economic Research Forum, revised May 2016.
    4. Langsten, Ray & Hassan, Tahra, 2018. "Primary education completion in Egypt: Trends and determinants," International Journal of Educational Development, Elsevier, vol. 59(C), pages 136-145.

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