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Returns to education in heterogenous labour markets the case of Peru

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  • Chacaltana Janampa, Juan,
  • Moreno, Martín,

Abstract

This paper examines the private returns to education in the context of heterogeneous labour markets, using Peru as a case study. While education is widely considered a key driver of individ­ual earnings and economic growth, its actual returns may be constrained by structural features of labour demand. Drawing on nationally representative household survey data from 2016, 2019, and 2022, we estimate Mincerian earnings equations with Heckman selection correction to as­sess how returns to education vary by employment status (employee vs. own account) and sec­tor (formal vs. informal).

Suggested Citation

  • Chacaltana Janampa, Juan, & Moreno, Martín,, 2025. "Returns to education in heterogenous labour markets the case of Peru," ILO Working Papers 995661276002676, International Labour Organization.
    • Handle: RePEc:ilo:ilowps:995661276002676
    DOI: 10.54394/MQIL6393
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