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Human Capital Heterogeneity: University Choice and Wages

  • Navon, Guy

This paper analyzes the impact of post-secondary education on wages in Israel. The focus is on the impact of university choice on individual wages controlling for the degree acquired and the area of study. Although the raw data indicate that universities command a different return to education, the paper shows that this is due to the selection of more able individuals to particular universities and not to differences in the quality of education offered. The paper is based on a unique data set linking the 1995 census of population, the universities’ records, and the Manufacturing and Crafts Survey.

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File URL: http://mpra.ub.uni-muenchen.de/9708/1/MPRA_paper_9708.pdf
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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 9708.

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Date of creation: Mar 2006
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Handle: RePEc:pra:mprapa:9708
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  1. Barry R. Chiswick, 1998. "Hebrew language usage: Determinants and effects on earnings among immigrants in Israel," Journal of Population Economics, Springer, vol. 11(2), pages 253-271.
  2. Idson, Todd L & Feaster, Daniel J, 1990. "A Selectivity Model of Employer-Size Wage Differentials," Journal of Labor Economics, University of Chicago Press, vol. 8(1), pages 99-122, January.
  3. Brunello, G & Colussi, A, 1997. "The Employer Size-Wage Effect : Evidence from Italy," ISER Discussion Paper 0432, Institute of Social and Economic Research, Osaka University.
  4. Lallemand, Thierry & Plasman, Robert & Rycx, Francois, 2005. "The Establishment-Size Wage Premium: Evidence from European Countries," IZA Discussion Papers 1569, Institute for the Study of Labor (IZA).
  5. Kenneth R Troske, 1994. "Evidence on the Employer Size-Wage Premium From Worker-Establishment Matched Data," Working Papers 94-10, Center for Economic Studies, U.S. Census Bureau.
  6. Angrist, Joshua D & Krueger, Alan B, 1991. "Does Compulsory School Attendance Affect Schooling and Earnings?," The Quarterly Journal of Economics, MIT Press, vol. 106(4), pages 979-1014, November.
  7. Card, David, 1999. "The causal effect of education on earnings," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 30, pages 1801-1863 Elsevier.
  8. Arcidiacono, Peter, 2004. "Ability sorting and the returns to college major," Journal of Econometrics, Elsevier, vol. 121(1-2), pages 343-375.
  9. Ashenfelter, Orley & Harmon, Colm & Oosterbeek, Hessel, 1999. "A review of estimates of the schooling/earnings relationship, with tests for publication bias," Labour Economics, Elsevier, vol. 6(4), pages 453-470, November.
  10. Kenneth R. Troske & Kimberly Bayard, 1999. "Examining the Employer-Size Wage Premium in the Manufacturing, Retail Trade, and Service Industries Using Employer-Employee Matched Data," American Economic Review, American Economic Association, vol. 89(2), pages 99-103, May.
  11. Behrman, Jere R & Rosenzweig, Mark R & Taubman, Paul, 1996. "College Choice and Wages: Estimates Using Data on Female Twins," The Review of Economics and Statistics, MIT Press, vol. 78(4), pages 672-85, November.
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