Average and Marginal Returns to Upper Secondary Schooling in Indonesia

Pedro Carneiro, Nithin Umapathi, Michael Lokshin and Cristobal Ridao-Cano

No 8689, CEPR Discussion Papers from Centre for Economic Policy Research

Abstract: This paper estimates average and marginal returns to schooling in Indonesia using a non-parametric selection model. Identification of the model is given by exogenous geographic variation in access to upper secondary schools. We find that the return to upper secondary schooling varies widely across individuals: it can be as high as 50 percent per year of schooling for those very likely to enroll in upper secondary schooling, or as low as -10 percent for those very unlikely to do so. Average returns for the student at the margin are well below those for the average student attending upper secondary schooling.

Keywords: Return to education; Marginal return; Average return; Marginal treatment effect (search for similar items in EconPapers)
JEL-codes: J2 J3 J31 (search for similar items in EconPapers)
Date: 2011-12
New Economics Papers: this item is included in nep-edu, nep-lab and nep-sea
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

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Related works:
Journal Article: Average and Marginal Returns to Upper Secondary Schooling in Indonesia (2017)
Working Paper: Average and marginal returns to upper secondary schooling in Indonesia (2011)
Working Paper: Average and Marginal Returns to Upper Secondary Schooling in Indonesia (2011)
Working Paper: Average and marginal returns to upper secondary schooling in Indonesia (2011)
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