LABOR ECONOMICS
8th Edition
ISBN: 9781260004724
Author: BORJAS
Publisher: RENT MCG
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Question
Chapter 6, Problem 12P
To determine
The effect on the price of a university education to potential students.
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The figure below shows the proportion of children in earnings quantile conditional on their father's earnings quantile in the US and Denmark,
respectively. Based on this information, which of the following statements is correct?
US
I Child in poorest 20%
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DENMARK
0.400
0.4
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0.360
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Suppose that, on average, men earn $17 an hour and have an average of 15
years of schooling. Women earn $15 an hour and have an average of 14
years of schooling. If the estimated return to schooling for men is 0.30
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30 cents per hour) and the returns for schooling for women is 0.2, then the
gender gap in schooling explains:
10% of the wage gap between men and women.
20% of the wage gap between men and women.
30% of the wage gap between men and women.
15% of the wage gap between men and women.
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