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Does geographical aggregation cause overestimates of the returns to schooling? (Английский)

Rates of returns to schooling are usually estimated from cross-section national sample of census data on income and schooling. Reported estimates of rates of return average over 20 percent for primary schooling in developing countries, and are interpreted as justifying substantial investments in schooling. Interpretation of such estimates is usually qualified by comment on possible upward biases due to omitted variables like ability, motivation and...
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