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Natal'ya KyuiReturn to Education with Endogenous Occupational Choice: Empirical Analysis for the Russian Federation
2008.
Vol. 12.
No. 3.
P. 365–369
[issue contents]
The study provides the estimation of the return to education with the control for possible ability or selection bias and with endogenous occupational choice. The special focus in this paper is made on the individual choice of occupational type. Previously it has been shown that the occupational type influences significantly the wage on the Russian labour market, but never this variable was treated as endogenous. Nevertheless the choice of occupation is individual choice and is also restricted by labour market. Moreover the current Russian labour market has a significant education-occupation mismatch. That is why the estmation of the return to education under the assumption of exogeneity of occupational choice could lead to improper estimations. Current paper proposes a model for the estimation of the return to education that allows us to analyse the education-occupation mismatch and the return to education within occupational groups. This study also examines the return to education among male and female populations separately. We also prove, as previous researches, that the return to education is different for men and women. Furthermore this difference becomes much more significant when we take into account the choice of occupation as endogenous; indeed the wage formation is different between male and female populations.
Citation:
Kyui N. (2008) Obrazovanie, vybor kategorii professional'noy zanyatosti i zarabotnaya plata v Rossii [Return to Education with Endogenous Occupational Choice: Empirical Analysis for the Russian Federation]. Ekonomicheskiy zhurnal VShE, vol. 12, no 3, pp. 365–399 (in Russian)
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