The Rate of Return to Investment in Educaton: A Case Study of Lithuania

Potelienė, Simona; Tamašauskienė, Zita

doi:10.1515/wrlae-2015-0014

Cited by 9 publications

(18 citation statements)

References 14 publications

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“…The achieved results, ranging between 13% and 21%, are rather higher than those of Poteliene and Tamasauskiene (2014), although comparable and higher by ~7 pp. than historical records for the years 1996-2013.…”

Section: Discussionmentioning

confidence: 63%

“…-The data for the CEE countries shows slightly smaller values than reported by Poteliene and Tamasauskiene (2014), although the order seems quite comparable. -The reliability of the current study results for the IRR seems more believable for the CEE than for the WE countries.…”

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confidence: 53%

“…If the study confirms rates of >10%, then it would be evidence for a significant mismatch between macroscale models and estimates based on micro-foundations. While the data on the 'Household Finance and Consumption Survey' (HFCS;2014-2016 for the 2016 wave were released in March 2020 for use in general research, this study elaborates the latest survey statistics. Surprisingly, despite these new data, the estimates are nearly the same as in 2014.…”

Section: Introductionmentioning

confidence: 99%

“…Romele, 2013) for Latvia. Moreover, a comparable methodology is added from the study of Poteliene and Tamasauskiene (2014) for 2013, where the averages for men and women are shown. The most recent decennial summary by Psacharopoulos and Patrinos (2018) adds mainly 2011 data.…”

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confidence: 99%

“…*Country symbols are as follows: BE -Belgium, FI -Finland, LU -Luxembourg, GR -Greece, IE -Ireland, MT -Malta, CY -Cyprus, FR -France, AT -Austria, NL -Netherlands, SI -Slovenia, IT -Italy, ES -Spain, HU -Hungary, DE -Germany, PL -Poland, PT -Portugal, SK -Slovakia, EE -Estonia and LV -Latvia. Source:Boerini and Strauss (2010) for 1996-2001, Romele (2013 for 2010,Psacharopoulos and Patrinos (2018) for 2011,Poteliene and Tamasauskiene (2014) for 2013, and own calculations for the period 2014-2016.…”

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confidence: 99%

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Internal Rate of Return on Investment in Higher Education in Europe

Jablonowski

2021

Wroclaw Review of Law, Administration &Amp; Economics

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The study aims to update the well-settled issue in literature of rate of return on investment in higher education in Europe. The proposed approach slightly modifies the existing methodology based on the Mincer equation, using an updated set of data for the period 2014–2016 from the European Central Bank's ‘Household Finance and Consumption Survey’. The results obtained, ranging between 13% and 21%, are higher compared to historical records for the years 1996–2013. As for the microeconometric estimates of the Mincer-type equation, they are sound and comparable, although showing higher margins in relation to the recent figures. Thus, they may suggest an increasing trend in valuation and importance of human capital based on high school degree, especially for the Central–Eastern European Union countries, resulting probably from rapid economic and cultural convergence.

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Section: Discussionmentioning

confidence: 63%

mentioning

confidence: 53%

Section: Introductionmentioning

confidence: 99%

mentioning

confidence: 99%

mentioning

confidence: 99%

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Internal Rate of Return on Investment in Higher Education in Europe

Jablonowski

2021

Wroclaw Review of Law, Administration &Amp; Economics

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Investigating the Demand of Asian Countries on Malaysian Public Universities: An Application of Panel Generalised Methods of Moments (GMM) Estimation

Asari,

Muhamad,

Ahmad

et al. 2023

Corporate Management Ecosystem in Emerging Economies

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Appraising the lifetime private economic returns of postgraduate degrees: Evidence from Pakistan

Bashir

Siddique

2023

Humanit Soc Sci Commun

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In Pakistan, public sector investment has significantly increased in higher education over the last two decades. This study, therefore, aims to estimate the private economic returns of Ph.D. faculty members over their non-PhD counterparts in Pakistani universities. We use questionnaire-based survey data of 784 respondents comprising Ph.D. and non-Ph.D. faculty members. In the first step, earning function is estimated for the entire group. In the next step, the lifetime private economic returns are calculated with the help of the simulation process, which yields the net present values (NPV) of the lifetime earnings for the two subgroups. Our findings show that the lifetime private economic returns of a Ph.D. degree are higher than a non-Ph.D. degree. In the case of a domestic Ph.D. degree, the average lifetime economic returns of the Ph.D. are 46.5% higher than those of non-Ph.D. faculty members. In contrast, foreign-country Ph.D. degree holders earn 29.8% extra than non-Ph.D. faculty members. Therefore, the net lifetime returns of foreign Ph.D. holders are 16.7% points less than the domestic degree holders because the cost of doing a Ph.D. degree from a foreign university is higher. Our sensitivity analysis reveals that changing the retirement age from 60 to 55 and 65 does not affect these results. However, the difference between the net returns decreases if the retirement age is 55 and increases in the case of 65. Similarly, increasing the completion time of a Ph.D. also affects the net lifetime private economic return negatively.

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The Rate of Return to Investment in Educaton: A Case Study of Lithuania

Abstract: 'The private and fiscal returns to schooling and the effect of public policies on private incentives to invest in education: a general framework and some results for the EU' (2005) CESifo Working Paper 1392.

Cited by 9 publications

References 14 publications

Internal Rate of Return on Investment in Higher Education in Europe

Internal Rate of Return on Investment in Higher Education in Europe

Investigating the Demand of Asian Countries on Malaysian Public Universities: An Application of Panel Generalised Methods of Moments (GMM) Estimation

Appraising the lifetime private economic returns of postgraduate degrees: Evidence from Pakistan

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