Economists have argued that one function of fringe benefits is to reduce turnover. However, the effect on quits of the marginal dollar of benefits relative to wages is underresearched. We use the benefit incidence data in the 1979 National Longitudinal Survey of Youth and the cost information in...

We investigate the functional form for formal training in a wage equation and derive estimates of its rate of return. The cube root fits best in our two data sets. We show that if wages are not adjusted continuously, estimating the return to training requires one lag and one lead of training....

This paper evaluates the evidence for a college degree effect-a particularly high return to completing college compared to the first three years-in the National Longitudinal Study of the High School Class of 1972 (NLS-72). An ordered probit model of schooling choice is developed to correct for...

The Current Population Survey (CPS) is used for many studies examining trends in the returns to education. The CPS changed its education item in 1992. This paper develops adjustment factors for earnings at different education levels to make pre- and post- 1992 earnings comparable. To accomplish...