Is earnings uncertainty relevant for educational choice? An empirical analysis for China

Authors
Publication date 2011
Series IZA Discussion Paper, 5679
Number of pages 19
Publisher Bonn: Institute for the Study of Labor (IZA)
Organisations
  • Faculty of Economics and Business (FEB) - Amsterdam School of Economics Research Institute (ASE-RI)
Abstract We use the method of Dominitz and Manski (1996) to solicit anticipated wage distributions for continuing to a Master degree or going to work after completing the Bachelor degree. The means of the distributions have an effect on intention to continue as predicted by theory. The dispersions in these individual distributions have no effect on intention to continue, suggesting that anticipated earnings risk does not play a role in the decision.
Document type Working paper
Note April 2011
Language English
Published at http://ftp.iza.org/dp5679.pdf
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