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The Non-Market Benefits of Education and Ability

Author

Listed:
  • James J. Heckman
  • John Eric Humphries
  • Gregory Veramendi

Abstract

This paper analyzes the non-market benefits of education and ability. Using a dynamic model of educational choice we estimate returns to education that account for selection bias and sorting on gains. We investigate a range of non-market outcomes including incarceration, mental health, voter participation, trust, and participation in welfare. We find distinct patterns of returns that depend on the levels of schooling and ability. Unlike the monetary benefits of education, the benefits to education for many non-market outcomes are greater for low-ability persons. College graduation decreases welfare use, lowers depression, and raises self-esteem more for less-able individuals.

Suggested Citation

  • James J. Heckman & John Eric Humphries & Gregory Veramendi, 2017. "The Non-Market Benefits of Education and Ability," NBER Working Papers 23896, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:23896
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    References listed on IDEAS

    as
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    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. The Non-Market Benefits of Education and Ability
      by maximorossi in NEP-LTV blog on 2018-02-21 12:42:55
    2. The Non-Market Benefits of Education and Ability
      by maximorossi in NEP-LTV blog on 2017-11-24 00:33:18

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    Cited by:

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    2. Ruhose, Jens & Thomsen, Stephan L. & Weilage, Insa, 2018. "The Wider Benefits of Adult Learning: Work-Related Training and Social Capital," IZA Discussion Papers 11854, Institute of Labor Economics (IZA).
    3. Dong, Beidi & Krohn, Marvin D., 2020. "The effects of parental school exclusion on offspring drug use: An intergenerational path analysis," Journal of Criminal Justice, Elsevier, vol. 69(C).
    4. Jens Ruhose & Stephan L. Thomsen & Insa Weilage, 2018. "The Wider Benefits of Adult Learning: Work-Related Training and Social Capital," SOEPpapers on Multidisciplinary Panel Data Research 1004, DIW Berlin, The German Socio-Economic Panel (SOEP).
    5. Wojtek Tomaszewski & Francisco Perales & Ning Xiang & Matthias Kubler, 2021. "Beyond Graduation: Socio-economic Background and Post-university Outcomes of Australian Graduates," Research in Higher Education, Springer;Association for Institutional Research, vol. 62(1), pages 26-44, February.
    6. Jiang, Wei & Lu, Yi & Xie, Huihua, 2020. "Education and mental health: Evidence and mechanisms," Journal of Economic Behavior & Organization, Elsevier, vol. 180(C), pages 407-437.
    7. James J. Heckman & John Eric Humphries & Gregory Veramendi, 2018. "The Nonmarket Benefits of Education and Ability," Journal of Human Capital, University of Chicago Press, vol. 12(2), pages 282-304.
    8. Huichao Du & Yun Xiao & Liqiu Zhao, 2021. "Education and gender role attitudes," Journal of Population Economics, Springer;European Society for Population Economics, vol. 34(2), pages 475-513, April.
    9. Jens Ruhose & Stephan L. Thomsen & Insa Weilage, 2018. "The Wider Benefits of Adult Learning: Work-Related Training and Social Capital," CESifo Working Paper Series 7268, CESifo.
    10. Duncan, Brian & Grogger, Jeffrey & Leon, Ana Sofia & Trejo, Stephen J., 2020. "New evidence of generational progress for Mexican Americans," Labour Economics, Elsevier, vol. 62(C).
    11. Ruhose, Jens & Thomsen, Stephan L. & Weilage, Insa, 2019. "The benefits of adult learning: Work-related training, social capital, and earnings," Economics of Education Review, Elsevier, vol. 72(C), pages 166-186.
    12. Bhashkar Mazumder & Maria Fernanda Rosales & Margaret Triyana, 2019. "Social Interventions, Health and Wellbeing: The Long-Term and Intergenerational Effects of a School Construction Program," Working Paper Series WP-2019-9, Federal Reserve Bank of Chicago.
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    More about this item

    JEL classification:

    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • I14 - Health, Education, and Welfare - - Health - - - Health and Inequality
    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • I26 - Health, Education, and Welfare - - Education - - - Returns to Education
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy

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