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The wage effects of schooling under socialism and in transition: Evidence from Romania, 1950-2000
University of Gothenburg, Gothenburg, Sweden. (nationalekonomi)ORCID iD: 0000-0003-4570-7504
Upjohn Institute for Employment Research, 300 South Westnedge, Kalamazoo, MI 49007, USA.
Central European University, Budapest, Hungary.
2005 (English)In: Journal of comparative economics (Print), ISSN 0147-5967, E-ISSN 1095-7227, Vol. 33, no 2, 300-323 p.Article in journal (Refereed) Published
Abstract [en]

We estimate the impact of schooling on monthly earnings from 1950 to 2000 in Romania. Nearly constant at about 3-4 percent during the socialist period, the coefficient on schooling in a conventional earnings regression rises steadily during the 1990s, reaching 8.5 percent by 2000. Our analysis finds little evidence for either the standard explanations of such an increase in the West (labor supply movements, product demand shifts, technical change) or the transition-specific accounts sometimes offered (wage liberalization, border opening, increased quality of education). But we find some support for institutional and organizational explanations, particularly the high productivity of education in restructuring and entrepreneurial activities in a disequilibrium environment.

Place, publisher, year, edition, pages
Elsevier, 2005. Vol. 33, no 2, 300-323 p.
National Category
Economics
Identifiers
URN: urn:nbn:se:oru:diva-39153DOI: 10.1016/j.jce.2005.03.005ISI: 000229811800006Scopus ID: 2-s2.0-19744377087OAI: oai:DiVA.org:oru-39153DiVA: diva2:766921
Available from: 2014-11-28 Created: 2014-11-28 Last updated: 2015-01-12Bibliographically approved

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