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Earnings Returns to the British Education Expansion

Listed author(s):
  • Paul J. Devereux
  • Fan Wen

We study the effects of the large expansion in British educational attainment that took place for cohorts born between 1970 and 1975. Using the Quarterly Labour Force Survey, we find that the expansion caused men to increase education by about a year on average and gain about 8% higher wages; women obtained a slightly greater increase in education and a similar increase in wages. Clearly, there was a sizeable gain from being born late enough to take advantage of the greater educational opportunities offered by the expansion. Treating the expansion as an exogenous increase in educational attainment, we obtain instrumental variables estimates of returns to schooling of about 6% for both men and women.

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File URL: http://hdl.handle.net/10197/6387
File Function: First version, 2011
Download Restriction: no

Paper provided by School of Economics, University College Dublin in its series Working Papers with number 201111.

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Length: 37 pages
Date of creation: Jun 2011
Handle: RePEc:ucn:wpaper:201111
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UCD, Belfield, Dublin 4

Phone: +353-1-7067777
Fax: +353-1-283 0068
Web page: http://www.ucd.ie/economics

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