Template-Type: ReDIF-Paper 1.0
Author-Name:  Marcelo Arbex
Author-Name-First: Marcelo
Author-Name-Last: Arbex
Author-Name:  Antonio F. Galvao
Author-Name-First: Antonio F.
Author-Name-Last: Galvao
Author-Name: Fábio Augusto Reis Gomes
Author-Name-First: Fábio Augusto Reis
Author-Name-Last: Gomes
Title: Heterogeneity in the Returns to Education and Informal Activities
Abstract:  This paper investigates the e§ects of schooling on agentís informal earnings. We present a two-period model of informal activities and schooling, and test its implications using a survey of informal workers in Brazil. The model implies that there exists an education premium in the informal sector, at least for high skilled workers. We estimate the model using instrumental variables quantile regression approach, which is able to accommodate an interaction between education and unobserved ability in the earnings function. The Öndings suggest that returns to schooling are positive and monotonically increasing along the quantiles of the earnings distribution.
Length:  35 pages
Creation-Date:  2010
Order-URL: https://repositorio.insper.edu.br/handle/11224/5821
File-URL: https://repositorio.insper.edu.br/handle/11224/5821
File-Format: text/html
File-Function: Full text
Number: 092
Handle: RePEc:aap:wpaper:092