A recent line of research demonstrates that cognitive skills - IQ scores, math skills, and the like -have only modest influence on individual wages, but are strongly correlated with national outcomes. It this largely due to human capital spillovers? This paper argues that the answer is yes. It...

A recent line of research demonstrates that cognitive skills - intelligence quotient scores, math skills, and the like - have only a modest influence on individual wages, but are strongly correlated with national outcomes. Is this largely due to human capital spillovers? This paper argues that...