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Recent Dynamics of Returns to Education in Transition Countries


  • Tom Coupe

    () (Kyiv School of Economics, Kyiv Economic Institute)

  • Hanna Vakhitova

    () (Kyiv School of Economics, Kyiv Economic Institute)


This study provides recent estimates of returns to education in transition countries, investigating how the economic boom in the region has affected these returns. We find that transition countries continue to have relatively low returns to education and that the economic boom did not lead to a clear change in these returns. A more detailed investigation for one specific country, Ukraine, confirms these results.

Suggested Citation

  • Tom Coupe & Hanna Vakhitova, 2011. "Recent Dynamics of Returns to Education in Transition Countries," Discussion Papers 39, Kyiv School of Economics.
  • Handle: RePEc:kse:dpaper:39 Note: Submitted to Comparative Economic Studies

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    References listed on IDEAS

    1. Stepan Jurajda, 2003. "Does the Short Supply of College Education Bite?," CERGE-EI Working Papers wp213, The Center for Economic Research and Graduate Education - Economics Institute, Prague.
    2. Daniel Münich & Jan Svejnar & Katherine Terrell, 2005. "Returns to Human Capital Under The Communist Wage Grid and During the Transition to a Market Economy," The Review of Economics and Statistics, MIT Press, vol. 87(1), pages 100-123, February.
    3. Pastore, Francesco & Verashchagina, Alina, 2006. "Private returns to human capital over transition: A case study of Belarus," Economics of Education Review, Elsevier, vol. 25(1), pages 91-107, February.
    4. Giorgio Di Pietro & Lucas Pedace, 2008. "Changes in the returns to education in Argentina," Journal of Applied Economics, Universidad del CEMA, vol. 11, pages 259-279, November.
    5. Hossain, Shaikh I., 1997. "Making education in China equitable and efficient," Policy Research Working Paper Series 1814, The World Bank.
    6. Flabbi, Luca & Paternostro, Stefano & Tiongson, Erwin R., 2008. "Returns to education in the economic transition: A systematic assessment using comparable data," Economics of Education Review, Elsevier, vol. 27(6), pages 724-740, December.
    7. Fleisher, Belton M. & Sabirianova, Klara & Wang, Xiaojun, 2005. "Returns to skills and the speed of reforms: Evidence from Central and Eastern Europe, China, and Russia," Journal of Comparative Economics, Elsevier, vol. 33(2), pages 351-370, June.
    8. CHEN, Guifu & HAMORI, Shigeyuki, 2009. "Economic returns to schooling in urban China: OLS and the instrumental variables approach," China Economic Review, Elsevier, vol. 20(2), pages 143-152, June.
    9. Filer, Randall K. & Jurajda, Stepan & Planovsky, Jan, 1999. "Education and wages in the Czech and Slovak Republics during transition," Labour Economics, Elsevier, vol. 6(4), pages 581-593, November.
    10. Strawinski, Pawel, 2008. "External Return to Education in Poland," MPRA Paper 11598, University Library of Munich, Germany.
    11. Colm Harmon & Hessel Oosterbeek & Ian Walker, 2003. "The Returns to Education: Microeconomics," Journal of Economic Surveys, Wiley Blackwell, vol. 17(2), pages 115-156, April.
    12. Boris Vujčić & Vedran Šošić, 2009. "Return to Education and the Changing Role of Credentials in the Croatian Labor Market," Transition Studies Review, Springer;Central Eastern European University Network (CEEUN), vol. 16(1), pages 189-205, May.
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    Cited by:

    1. Zimmermann, Klaus F. & Biavaschi, Costanza & Eichhorst, Werner & Giulietti, Corrado & Kendzia, Michael J. & Muravyev, Alexander & Pieters, Janneke & Rodríguez-Planas, Núria & Schmidl, Ricarda, 2013. "Youth Unemployment and Vocational Training," Foundations and Trends(R) in Microeconomics, now publishers, vol. 9(1–2), pages 1-157, December.
      • Biavaschi, Costanza & Eichhorst, Werner & Giulietti, Corrado & Kendzia, Michael J. & Muravyev, Alexander & Pieters, Janneke & Rodríguez-Planas, Núria & Schmidl, Ricarda & Zimmermann, Klaus F., 2012. "Youth Unemployment and Vocational Training," IZA Discussion Papers 6890, Institute for the Study of Labor (IZA).

    More about this item


    returns to education; transition countries;

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • P2 - Economic Systems - - Socialist Systems and Transition Economies
    • P3 - Economic Systems - - Socialist Institutions and Their Transitions
    • P5 - Economic Systems - - Comparative Economic Systems

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