The “Sheepskin Effects” of Canadian Credentials

Taylor Shek-wai Hui

MPRA Paper from University Library of Munich, Germany

Abstract: This paper re-examines the “sheepskin effects” of educational credentials in Canada using data from the 1996 Census and Survey of Labour and Income Dynamics. I found that the estimated credential effects are sensitive to specifications. Regressions analysis in the standard model may not be adequate to control for the workers’ productivity difference unrelated to the credentials. Particularly, the misspecification of the earnings equation and pooling sample might introduce biases into the estimates of credential effects. With carefully constructed comparison groups, the estimated sheepskin effects of a Bachelor’s degree are smaller than that reported in Ferrar and Riddell (2002).

Keywords: Post-secondary Education; Human Capital; Signaling Effects; Canada. (search for similar items in EconPapers)
JEL-codes: C50 I20 J01 J24 (search for similar items in EconPapers)
Date: 2004-11-10
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:17994

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