The Private and Social Return to Schooling in Italy
29 Pages Posted: 17 May 2010
Date Written: September 18, 2009
Abstract
We estimate the private (individual) and social return to schooling in Italy and its macro regions. Our estimates take into account the effects of schooling on employment and wages, as well as the key features of the Italian tax and social security system. We find that the individual return to schooling compares favourably with the return to financial assets (especially in the South). At the social level, the available infrastructure-capital data indicates that the return to schooling exceeds that to infrastructures in the South. Recent evidence on peer effects and the consequences of increased education for health and crime suggest the overall social effects of schooling could be even greater.
Note: Downloadable document is in Italian.
Keywords: schooling, wages, employment probability
JEL Classification: I2, J31, O18, R11
Suggested Citation: Suggested Citation