Overeducation and Individual Heterogeneity
In this paper, the efficiency of human capital investments is evaluated in the light of inadequate educational careers and skill obsolescence. Assuming heterogeneous returns to schooling and overeducation we use the potential outcome approach to measure the causal effect of human capital investments on earnings as a continuous treatment effect. Empirical evidence is based on a sample of West German full-time employed males from the "BIBB/IABStrukturerhebung 1998/99". Our estimate of the average treatment effect of an additional year of schooling (ATE) amounts to 8.7%, which does not differ much from conventional instrumental variable estimates. For skilled and high skilled workers, we find no evidence that the average returns to overeducation are lower than the average returns to required educuation, which differs from the evidence find in most traditional studies. There is evidence for considerable heterogeneity in the expected returns to overeducation. For 20 to 30% of the workers returns seem to be negative.
|Date of creation:||23 Apr 2003|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: +49 7531 88 2314
Web page: http://www.uni-konstanz.de/forschergruppewiwi
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- BAUWENS, Luc & KIRMAN, Alan & LUBRANO, Michel & PROTOPOPESCU, Camelia, 2003.
"Ranking economics departments in Europe: a statistical approach,"
CORE Discussion Papers
2003050, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Michel Lubrano & Luc Bauwens & Alan Kirman & Camelia Protopopescu, 2003. "Ranking Economics Departments in Europe: A Statistical Approach," Journal of the European Economic Association, MIT Press, vol. 1(6), pages 1367-1401, December.
- BAUWENS, Luc & KIRMAN, Alan & LUBRANO, Michel & PROTOPOPESCU, Camelia, . "Ranking economics departments in Europe: a statistical approach," CORE Discussion Papers RP -1694, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Fabel, Oliver & Lehmann, Erik & Warning, Susanne, 2002. "Vorträge als Qualitätsindikator: Empirische Evidenz der Jahrestagungen des Vereins für Socialpolitik," Discussion Papers, Series I 321, University of Konstanz, Department of Economics.
- Kalaitzidakis, P. & Mamuneas, T.P. & Stengos, T., 2003. "Rankings of Academic Journals and Institutions," Working Papers 2003-8, University of Guelph, Department of Economics and Finance.
When requesting a correction, please mention this item's handle: RePEc:knz:hetero:0301. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gerald Eisenkopf)
If references are entirely missing, you can add them using this form.