When types of workers are imperfect substitutes, the Mincerian rate to return to human capital is negatively related to the supply of human capital. We work out a simple model for the joint evolution of output and wage dispersion. We estimate this model using cross-country panel data on GDP and...

We propose a political economy model to explain cross-country differences observed in educational policies and to show how such heterogeneity is associated with the level of a country's development and inequality. Parents, heterogeneous in terms of income and their child's ability, vote over the...

The article asks three questions of equality in education. First, what kind of equality we are talking about - numerical equality, proportional equality, formal equality, or moral equity? Second, how to categorize the indicators in a practical manner? Third, how to use the equality indicators...

In this paper we study the associations between educational policies, distributions of educational attainments and income distributions. By matching inequality measures on test scores, years of education and labour earnings by country, birth cohorts and gender, we show that inequality in...