Mellander, Erik; Sandgren-Massih, Sofia - Institutet för Arbetsmarknads- och Utbildningspolitisk … - 2008
A regression model is considered where earnings are explained by schooling and ability. It is assumed that schooling is measured with error and that there are no data on ability. Regressing earnings on observed schooling then yields an estimate of the return to schooling that is subject to...
