Journal Article

Education Quality and Development Accounting

Todd Schoellman

in The Review of Economic Studies

Published on behalf of Review of Economic Studies Ltd

Volume 79, issue 1, pages 388-417
Published in print January 2012 | ISSN: 0034-6527
Published online August 2011 | e-ISSN: 1467-937X | DOI: http://dx.doi.org/10.1093/restud/rdr025
Education Quality and Development Accounting

More Like This

Show all results sharing these subjects:

  • Education and Research Institutions
  • Economic Growth and Aggregate Productivity

GO

Show Summary Details

Preview

This paper measures the role of quality-adjusted years of schooling in accounting for cross-country output per worker differences. While data on years of schooling are readily available, data on education quality are not. I use the returns to schooling of foreign-educated immigrants in the U.S. to measure the education quality of their birth country. Immigrants from developed countries earn higher returns than do immigrants from developing countries. I show how to incorporate this measure of education quality into an otherwise standard development accounting exercise. The main result is that cross-country differences in education quality are roughly as important as cross-country differences in years of schooling in accounting for output per worker differences, raising the total contribution of education from 10% to 20% of output per worker differences.

Keywords: Education quality; Human capital; Development accounting; O47; I20

Journal Article.  12616 words.  Illustrated.

Subjects: Education and Research Institutions ; Economic Growth and Aggregate Productivity

Full text: subscription required

How to subscribe Recommend to my Librarian

Users without a subscription are not able to see the full content. Please, subscribe or login to access all content.