Smoking and Returns to Education: Empirical Evidence for Germany

Looking at smoking-behavior it can be shown that there are differences concerning the time-preference-rate. Therefore this has an effect on the optimal schooling decision in the way that we assume a lower average human capital level for smokers. According to a higher time-preference-rate we suppose a higher return to education for smokers who go further on education. With our empirical fondings we can confirm the presumptions. We use interactions-terms to regress the average rate of return with the instrumentvariable approach. Therefore we obtain that smokers have a significantly higher average return to education than non-smokers.Returns to education, Human Capital, Smoking Effects

Becoming a teacher educator : guidelines for induction : 2nd edition

The first edition of these guidelines was published in 2007. Since that date it has been used to support the induction of new teacher educators in the UK and beyond. The guidelines and the research which underpinned them also won the Sage BERA Practitioner Research Prize in 2009. But change in the higher education sector and in the field of teacher education mean that the time is now right for a second edition. This new edition has been revised in four main ways. Firstly, a considerable body of published international research focused on teacher educators has been produced since 2007 and the revised guidelines are informed by this work. Secondly, the new guidelines include the ‘voices’ of new teacher educators themselves gathered during our regular workshops for new teacher educators and our research projects. Thirdly, the revised edition aims to be more inclusive of all teacher educators, including those in further education. In terms of this latter group, it is informed by the limited literature available and our own research into the experiences of those teaching higher education programmes in further education colleges. Finally, the new guidelines seek to respond in a measured way to changing policy and contextual frameworks. These include the continued intensification and increasing fragmentation of academic work and identity in the higher education sector; and the wider questioning of the contribution of higher education to professional education for teachers

'The Work of Teacher Education' : Final Research Report

Partnership teacher education – in which schools work with universities and colleges to train teachers – works and there is abundant existing evidence in support of this fact. But our small-scale study across England and Scotland shows that it is the higher education tutor who seems to make it work, often at the cost of research-informed teaching and research. The most time-intensive activity for the higher education tutors in our sample was maintaining relationships with schools and between schools and individual trainee teachers. The need to maintain relationships to such a degree is caused in part by the creation of a marketplace of ‘providers’ of teacher education who compete for funding on the basis of inspection and quality assurance data and also by the very early school placements that characterise the English model of initial teacher education in comparison to other European models such as that of Finland

The Effect of Children on the Level of Labor Market Involvement of Married Women: What is the Role of Education?

We analyze the way women's education influences the effect of children on their level of labor market involvement. We propose an econometric model that accounts for the endogeneity of labor market and fertility decisions, for the heterogeneity of the effects of children and their correlation with the fertility decisions, and for the correlation of sequential labor market decisions. We estimate the model using panel data from NLSY79. Our results show that women with higher education work more before the birth of the first child, but children have larger negative effects on their level of labor market involvement. Differences across education levels are more pronounced with respect to full time employment than with respect to participation. Other things equal, higher wages reduce the effect of children on labor supply. Controlling for wages, women with higher education face larger negative effects of children on labor supply, which suggest they are characterized by a combination of higher marginal product of time spent in the production of child quality and higher marginal product of time relative to the marginal product of other inputs into the production of child quality.female labor supply, education, endogenous fertility decisions, heterogeneous children effects, multinomial probit model, Gibbs sampler

Demand for Education in China

After discussing the sources of funding of education in China this paper offers an explanation of the quantitative changes in education spending by the framework of demand analysis, including the changes in the ratio of educational funding to GDP in the period 1991-2002. Income effect is estimated mainly by using cross-provincial data, while time series data are used to estimate the price effect. Changes in government and non-government spending through time can be satisfactorily explained by the factors of demand. Demand for education services in the three levels of primary school, secondary school and higher education and aggregate demand for education services are investigated. Implications of our finding on inequality of education opportunities are briefly stated.

The Great Cost Shift Continues: State Higher Education Funding After the Recession

As student debt continues to climb, it's important to understand how our once debt-free system of public universities and colleges has been transformed into a system in which most students borrow, and at increasingly higher amounts. In less than a generation, our nation's higher education system has become a debt-for-diploma system -- more than seven out of 10 college seniors now borrow to pay for college and graduate with an average debt of $29,400. Up until about two decades ago, state funding ensured college tuition remained within reach for most middle-class families, and financial aid provided extra support to ensure lower-income students could afford the costs of college. As Demos chronicled in its first report in the series, this compact began to unravel as states disinvested in higher education during economic downturns but were unable, or unwilling, to restore funding levels during times of economic expansion. Today, as a result, public colleges and universities rely on tuition to fund an ever-increasing share of their operating expenses. And students and their families rely more and more on debt to meet those rising tuition costs. Nationally, revenue from tuition paid for 44 percent of all operating expenses of public colleges and universities in 2012, the highest share ever. A quarter century ago, the share was just 20 percent. This shift -- from a collective funding of higher education to one borne increasingly by individuals -- has come at the very same time that low- and middle-income households experienced stagnant or declining household income. The Great Recession intensified these trends, leading to unprecedented declines in state funding for higher education and steep tuition increases.This brief updates our previous analysis of state funding trends by examining trends in state funding and tuition since the Great Recession

Forever is a Long Time: Reconsidering Universities' Perpetual Endowment Policies in the Twenty - First Century

College and university officials in the United States have long invoked a combination of Anglo-Saxon legal precedents, plus the obligations of responsible philanthropic stewardship, to justify policies of perpetual endowments. Closely related to this general principle has been the practice of not spending more than the annual earnings (in other words, interest and dividends) from an endowment. Our historical analysis provides a counter to this contemporary conventional wisdom that has been accepted with little critical consideration in American higher education. Rediscovery of philosophical arguments, and actual cases of foundations and philanthropists who placed limits on the life span of gifts, demonstrates how historical research can provide an informed base for reconsideration of government and institutional policies and practices that shape giving and spending at colleges and universities in the twenty-first century.The grounding in economics for our study is Howard Bowen's 1980 "revenue theory" of college costs. The historical precedent for our policy analysis comes from eighteenth-century France, as advanced by A.J. Turgot, to shape national economic development. Its implications for higher education in the United States is illustrated by philanthropist John D. Rockefeller's reservations about a perpetual endowment for an educational project: "Forever is a long time . . ." Our historical research addresses the consequences -- pro and con -- of government policies requiring colleges to spend endowments at more than a marginal annual rate and in a fixed period of time; and, secondly, are there good reasons for donors to colleges to voluntarily opt to increase spending and place time limits on gifts

Participation in Higher Education: A Random Parameter Logit Approach with Policy Simulations

In this paper we present a theoretical model of higher education participation. We assume that young people that complete upper secondary education are faced with three choices, go to higher education, not go to higher education or go to higher education and work part time. Utilizing the Living in Ireland survey data 1994-2001 we model this choice in an Irish context by variation in costs (direct and indirect), the estimated lifecycle returns and household credit constraints. Using a random parameters logit choice model we find that simulated lifecycle earnings positively impact the educational/labour choices of young individuals in Ireland. This positive relationship is also found to be true for a choice-specific household income variable constructed in the paper. From the random parameters logit estimations we also find that preferences for choices with higher simulated lifecycle earnings and household income vary across individuals. We conduct policy simulations from our estimations and found that increasing student financial aid levels by 10% combined with a slight widening of the income limits for these aids can lead to significant movement away from the decision to not enter higher education.higher education participation, random parameters logit model, lifecycle simulated earnings, higher education policy

The Education-growth Nexus Across OECD Countries: Schooling Levels and Parameter Heterogeneity

More education is good for growth but what kind of education? This paper tries to contribute to this discussion along two dimensions. We try to disentangle the relative growth returns of primary, secondary and tertiary education, while at the same time accounting for heterogeneity in the relationship among OECD countries. To achieve our goal we estimate a convergence regression derived from a human capital-augmented exogenous growth model using the Pooled Mean Group estimator proposed by Pesaran, Shin and Smith (1999) that imposes common long-run relationships across countries while allowing for heterogeneity in the short run responses and intercepts. The use of estimators that allow for a greater degree of parameter heterogeneity than is common in empirical growth studies improves the results of the estimation of the education-schooling levels-growth link: we detect a positive and significant relationship not only between higher education and growth but also between growth and either secondary or primary education. Thus, the evidence analyzed here points to the need to develop empirical growth studies that consider the existence of a higher degree of heterogeneity in cross-country studies, provided there are enough time series observations.schooling levels, education, economic growth, dynamic heterogeneous panels

Aggregate Unemployment Decreases Individual Returns to Education

On the basis of a theoretical model, we argue that higher aggregate unemployment affects individual returns to education. We therefore include aggregate unemployment and an interaction term between unemployment and the individual education level in a standard Mincer equation. Our results show that an increase in regional unemployment by 1% decreases the returns to education by 0.005 percentage points. This implies that higher skilled employees are better sheltered from labour market changes with respect to their jobs but encounter larger wage changes than less skilled employees. Differences in regional unemployment can in addition almost fully explain the observed large differences in regional returns to education. We use representative individual data and regional panel variation in unemployment between different German regions and for different employee groups. We demonstrate that our results are robust with respect to aggregation bias, time lags and potential endogeneity of the unemployment variable. --returns to education,unemployment,regional variation