An investigation of the decline in the returns to higher education in Vietnam

Banh, Thi Hang; Dao, Trang Hong; Glewwe, Paul; Thai, Giang

doi:10.1080/09645292.2024.2362262

Education Economics

2024

DOI: 10.1080/09645292.2024.2362262

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An investigation of the decline in the returns to higher education in Vietnam

Thi Hang Banh,

Trang Hong Dao,

Paul Glewwe

et al.

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2024

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Capital market distortions and skills demand in a transitional economy: The case of Vietnam

Phan,

Coxhead

2024

Econ of Transit and Inst Chang

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We model and investigate differences in factor demand by private and state‐owned enterprises in Vietnam, an economy in transition, to market‐driven growth. We postulate that state firms, who have privileged access to financial capital and face lower borrowing costs, choose technologies that are capital intensive and demand more skilled labour, a complementary input, while private firms rely on low‐technology methods and less‐skilled labour. Propositions generated by the model are supported by analysis using data from Vietnam's enterprise census. Because the private sector is by far the larger employer, a more level capital market playing field would likely raise aggregate demand for skills, thereby strengthening incentives to invest in higher education.

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Capital market distortions and skills demand in a transitional economy: The case of Vietnam

Phan,

Coxhead

2024

Econ of Transit and Inst Chang

View full text Add to dashboard Cite

show abstract

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An investigation of the decline in the returns to higher education in Vietnam

Cited by 1 publication

References 18 publications

Capital market distortions and skills demand in a transitional economy: The case of Vietnam

Capital market distortions and skills demand in a transitional economy: The case of Vietnam

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