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This paper reviews the theoretical and empirical literature on job market signalling and on education as a job market … signal. Possible economic implications of educational job market signalling to an individual and the society are represented … based on existing theories. The paper also reviews central methods in empirical testing of the signalling …
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schooling, while the return to schooling mostly reflects the signaling value of schooling …
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We study the role of credentials or "sheepskin effects" in the Canadian labour market. Sheepskin effects refer to increases in wages associated with the receipt of a degree after controlling for educational inputs such as years of schooling. We find strong evidence of sheepskin effects...
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