Additive Kernel Estimates of Returns to Schooling

Deniz Ozabaci and Daniel Henderson ()

No 8736, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: In this paper, we employ a partially linear nonparametric additive regression estimator, with recent U.S. Current Population Survey data, to analyze returns to schooling. Similar to previous research, we find that blacks and Hispanics have higher rates of return on average. However, for married males, while non-Hispanic whites have lower returns on average, they typically possess the highest returns in the sample. For females, we are able to show that Hispanics have uniformly higher returns over non-Hispanic whites for the full sample. When we restrict our analysis to females whose highest level of education is a high-school diploma, we find average, but no longer uniformly higher returns. However, these uniformly higher returns resurface for college graduates.

Keywords: additive; Mincer regressions; rate of return to education; nonparametric (search for similar items in EconPapers)
JEL-codes: C14 J24 (search for similar items in EconPapers)
Pages: 40 pages
Date: 2014-12
New Economics Papers: this item is included in nep-lab
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Citations: View citations in EconPapers (1)

Published - published in: Empirical Economics, 2015, 48, 227-251

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Journal Article: Additive kernel estimates of returns to schooling (2015)
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