ERIC Number: ED460031
Record Type: Non-Journal
Publication Date: 2001-Oct
Reference Count: N/A
Education, Earnings, and Inequality in Brazil, 1982-98: Implications for Education Policy. Policy Research Working Paper.
Blom, Andreas; Holm-Nielsen, Lauritz; Verner, Dorte
This paper investigates how the remuneration of education has evolved during 1982-98, the period of reform. This strand of literature documents an increased convexity of the earnings function; that is, the returns of one additional year of schooling rises with the years of completed schooling. The educational attainment of Brazil's labor force has gradually increased over the past two decades, and, at the same time, the government has pursued a series of economic structural adjustment policies. The study reported how these simultaneous advances have altered the relationship between labor market earnings and education. The paper finds that the returns to education in the labor market fundamentally changed between 1982 and 1998, while the returns to tertiary education increased sharply. The returns to primary education dropped by 26% and the returns to lower secondary education dropped by 35%. The marginal reduction in wage inequality that occurred in this period was linked primarily to a reduction in the returns to schooling, only secondarily to a more equitable distribution of schooling. The supply of highly skilled labor is inadequate to meet demand, and a need is suggested for policy action aimed at increasing access to and completion of tertiary education. (Contains 43 notes, 11 figures, 4 tables, and 39 references. Appended are descriptive statistics; variable list and coding; regressions results; graphs; and strategies and recommendations.) (BT)
Descriptors: Developing Nations, Educational Benefits, Educational Policy, Educational Practices, Educational Research, Foreign Countries, Labor Market, Postsecondary Education
Education Sector Unit, Latin America and the Caribbean Region, World Bank, 1818 H Street, NW, Washington, DC 20433. Tel: 202-458-8469; Fax: 202-522-0050; e-mail: firstname.lastname@example.org. For full text: http://econ.worldbank.org/files/2466 wps2686.pdf.
Publication Type: Historical Materials; Reports - Research
Education Level: N/A
Authoring Institution: World Bank, Washington, DC.
Identifiers - Location: Brazil