Increasing social returns to human capital: evidence from Hungarian regions

László Czaller

Regional Studies, 2017, vol. 51, issue 3, 467-477

Abstract: Increasing social returns to human capital: evidence from Hungarian regions. Regional Studies. Using individual-level data from 2002 to 2008, this paper estimates augmented Mincerian wage equations to analyze social returns to human capital in Hungary. The results show that geographically localized human capital externalities have a strong productivity effect on the wages of local workers, but the strength of this effect falls short of the private returns. A one-year increase in the average schooling of the local labour force has a 3% average external effect on the wages of local workers.

Date: 2017
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DOI: 10.1080/00343404.2015.1112898

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