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Returns to Education in South Africa: Evidence from the National Income Dynamics Study

Craig Depken Chanda Chiseni Ernest Ita
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Craig Depken Chanda Chiseni Ernest Ita: UNC Charlotte, Charlotte, NC, USA. Lund University, Lund, Sweden. Department of Economics, UNC Charlotte, Charlotte, NC, USA.

Zagreb International Review of Economics and Business, 2019, vol. 22, issue 1, 1-12

Abstract: We utilize two waves of the National Income Dynamics Study in South Africa to estimate the returns to education in 2010 and 2012. We find that during this time period the returns to education were approximately 18% per year of education and that the returns were higher for females relative to males and higher for those living in urban relative to rural areas. The policy implications include a suggestion to continue investment in educational infrastructure, especially in rural areas, so as to increase the returns to education in those areas. JEL Classification: I26, J31

Keywords: instrumental variables; Mincer equations; developing countries (search for similar items in EconPapers)
Date: 2019
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DOI: 10.2478/zireb-2019-0009

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