Returns to Education and Individual Heterogeneity
In this paper, human capital investments are evaluated by assuming heterogeneous returns to education. 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/IAB-Strukturerhebung 1998/99.? Our estimate of the average treatment effect of an additional year of schooling (ATE) amounts to 8.7%, which is quite similar to conventional instrumental variable estimates.
|Date of creation:||2004|
|Date of revision:|
|Contact details of provider:|| Postal: |
Web page: http://www.zew.de/
More information through EDIRC
References listed on IDEAS
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.:
- Michael Maier & Friedhelm Pfeiffer & Winfried Pohlmeier, 2003. "Overeducation and Individual Heterogeneity," Working Papers of the Research Group Heterogenous Labor 03-01, Research Group Heterogeneous Labor, University of Konstanz/ZEW Mannheim.
- Wolfgang Franz & Joachim Inkmann & Winfried Pohlmeier & Volker Zimmermann, 2000. "Young and Out in Germany (On Youths? Chances of Labor Market Entrance in Germany)," NBER Chapters, in: Youth Employment and Joblessness in Advanced Countries, pages 381-426 National Bureau of Economic Research, Inc.
- Heckman, James J. & Lochner, Lance John & Todd, Petra E., 2003.
"Fifty Years of Mincer Earnings Regressions,"
IZA Discussion Papers
775, Institute for the Study of Labor (IZA).
- Deschenes, Olivier, 2002.
"Estimating the Effects of Family Background on the Return to Schooling,"
University of California at Santa Barbara, Economics Working Paper Series
qt2qm3867s, Department of Economics, UC Santa Barbara.
- Deschenes, Olivier, 2007. "Estimating the Effects of Family Background on the Return to Schooling," Journal of Business & Economic Statistics, American Statistical Association, vol. 25, pages 265-277, July.
- Pedro Carneiro & James J. Heckman, 2002.
"The Evidence on Credit Constraints in Post-Secondary Schooling,"
NBER Working Papers
9055, National Bureau of Economic Research, Inc.
- Pedro Carneiro & James J. Heckman, 2002. "The Evidence on Credit Constraints in Post--secondary Schooling," Economic Journal, Royal Economic Society, vol. 112(482), pages 705-734, October.
- Carneiro, Pedro & Heckman, James J., 2002. "The Evidence on Credit Constraints in Post-Secondary Schooling," IZA Discussion Papers 518, Institute for the Study of Labor (IZA).
- 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.
- Stock, James H & Wright, Jonathan H & Yogo, Motohiro, 2002. "A Survey of Weak Instruments and Weak Identification in Generalized Method of Moments," Journal of Business & Economic Statistics, American Statistical Association, vol. 20(4), pages 518-29, October.
- Card, David, 2001.
"Estimating the Return to Schooling: Progress on Some Persistent Econometric Problems,"
Econometric Society, vol. 69(5), pages 1127-60, September.
- David Card, 2000. "Estimating the Return to Schooling: Progress on Some Persistent Econometric Problems," NBER Working Papers 7769, National Bureau of Economic Research, Inc.
- Blechinger, Doris & Pfeiffer, Friedhelm, 1996. "Technological change and skill obsolescence: the case of German apprenticeship training," ZEW Discussion Papers 96-15, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
- Wooldridge, Jeffrey M., 1997. "On two stage least squares estimation of the average treatment effect in a random coefficient model," Economics Letters, Elsevier, vol. 56(2), pages 129-133, October.
When requesting a correction, please mention this item's handle: RePEc:zbw:zewdip:1860. 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: (ZBW - German National Library of Economics)
If references are entirely missing, you can add them using this form.