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In this paper we analyse educational choices and earnings of individuals at two different levels in the Portuguese educational system. At each potential exit level we consider two decisions: the decision to continue studying and the employment decision, whereas normally only the first decision...
Persistent link: https://www.econbiz.de/10001605159
Using a dynamic programming model of schooling decisions, we investigate the relationship between subjective discount rates and the labor market ability (the discount rate bias) on a panel taken from the National Longitudinal Survey of Youth (NLSY). Given household human capital and Armed Forces...
Persistent link: https://www.econbiz.de/10001436066
Incomplete information is a commitment device for time consistency problems. In the context of time consistent labor income taxation privacy can lead to a Pareto superior outcome and increases the effectiveness of public education as a second best policy.
Persistent link: https://www.econbiz.de/10001440970
the results of the first systematic study of the wage expectations of European college students. Our data are based on the … replies to the same questionnaire by more than 6000 college students all over Europe. We study the determinants of wage …-specific micro-data. In line with U.S. studies we find that students overestimate returns to education. …
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This paper studies how schooling admission tests affect economic performance in an economy where individuals are endowed with both academic and non academic abilities and both abilities matter for labor productivity. We develop a simple model with selective government held schools, where...
Persistent link: https://www.econbiz.de/10001450005
This paper analyses the effects of expected earnings and local markets conditions on the behaviour of young adults with high school diplomas. Decisions to either remain in the parental home or form a new household are modelled jointly with those of either gaining work experience or investing in...
Persistent link: https://www.econbiz.de/10001509831