period, first the post-World War baby boom and then the substantial increase in education led to higher economic growth than … otherwise expected. As the pace of increase in education slowed and the workforce aged toward the end of the period, human …

We study Pareto optimal tax and education policies when human capital upon labor market entry is endogenous and … individuals face wage uncertainty. Though optimal labor distortions are history-dependent, i.e. depend on income and education …-contingent loans. To take themodel to the (US) data, we simplify the model to a binary education decision (graduating from college or …

education wedges in this setting analytically and numerically, using a calibrated example. We present ways to implement the … given out to agents during education. These repayment plans are contingent on loan size and income and capture the history … dependence of the labor wedges. Applying the model to US-data and a binary education decision (graduating from college or not) we …

, lowering the return to native education and discouraging native high school completion. Conversely, native children might be …

exploiting within-individual variation this quasi-experiment provides evidence on the role of education in moderating the …

responses to education and find evidence for substantial heterogeneity in unobserved variables on which agents make choices. The … estimated treatment effects of education are decomposed into the direct benefits of attaining a given level of schooling and … estimated treatment effects. While the estimated causal effects of education are substantial for most outcomes, we also estimate …