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Education, Self-Selection, and Intergenerational Transmission of Abilities

Adalbert Mayer ()

Journal of Human Capital, 2008, vol. 2, issue 1, 106-128

Abstract: This article shows that the relationships between earnings and college education across generations can be explained by the intergenerational transmission of two distinct abilities and subsequent self-selection of educational attainment. It is not necessary to invoke credit constraints. The model offers a way to reconcile the predictions of economic theory with empirical results that stress the importance of ability transmission across generations and question the importance of credit constraints for determining college attendance.

Date: 2008
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Working Paper: Education, Self-Selection and Intergenerational Transmission of Abilities (2004) Downloads
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Handle: RePEc:ucp:jhucap:v:2:i:1:y:2008:p:106-128