Is Earnings Uncertainty Relevant for Educational Choice? An Empirical Analysis for China

Joop Hartog, Xiaohao Ding and Juan Liao
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Joop Hartog: University of Amsterdam
Xiaohao Ding: Peking University
Juan Liao: Peking University

No 11-075/3, Tinbergen Institute Discussion Papers from Tinbergen Institute

Abstract: We use the method of Dominitz and Manski (1996) to solicit anticipated wagedistributions for continuing to a Master degree or going to work after completing theBachelor degree. The means of the distributions have an effect on intention to continue aspredicted by theory. The dispersions in these individual distributions have no effect onintention to continue, suggesting that anticipated earnings risk does not play a role in thedecision.

Keywords: wage expectations; educational choice (search for similar items in EconPapers)
JEL-codes: D8 I21 J24 (search for similar items in EconPapers)
Date: 2011-04-28
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Citations: View citations in EconPapers (1)

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