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with less education, those working in lower paid occupations, and those whose earnings fall in the lower part of the …
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level of education or training received-as a key proxy for skills. Such research has consistently found that individual …
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progress in education. Yet average workers' earnings have stagnated, and earnings of those with higher schooling have fallen …, compressing the earnings distribution and lowering the returns to education. This paper argues that distortions that misallocate … differentials across schooling levels would widen, raising the returns to education. A no-misallocation path is constructed for the …
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