Heterogeneity in the Effect of College Expansion Policy on Wages: Evidence from the Russian Labor Market

Citation

Belskaya, Volha; Peter, Klara Sabirianova; & Posso, Christian M. (2020). Heterogeneity in the Effect of College Expansion Policy on Wages: Evidence from the Russian Labor Market. Journal of Human Capital, 14(1), 84-121.

Abstract

This paper studies the effects of a landmark college expansion policy on wages in Russia. We construct a unique individual-level data set linking the supply of college campuses in an individual's place of residence at age 17 with educational attainment and hourly wages in adulthood. Using parametric and semiparametric selection models, we demonstrate that the returns to college education in Russia are heterogeneous and depend on whether individuals live in areas with limited college availability. The cost-benefit analysis demonstrates that discounted net benefits of college education for students in constrained municipalities exceed those for students in large cities twofold.

URL

http://dx.doi.org/10.1086/706484

Reference Type

Journal Article

Year Published

2020

Journal Title

Journal of Human Capital

Author(s)

Belskaya, Volha
Peter, Klara Sabirianova
Posso, Christian M.

Article Type

Regular

Data Set/Study

Russia Longitudinal Monitoring Survey–Higher School of Economics (RLMS-HSE)

Continent/Country

Russia