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Human Capital Externalities and Private Returns to Education in Kenya

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Author Info
Damiano Kulundu Manda (Kenya Institute for Public Policy Analysis (KIPPRA))
Germano Mwabu (Kenya Institute for Public Policy Analysis (KIPPRA))
Mwangi S. Kimenyi (University of Connecticut)

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Abstract

We use micro data to analyse the effect of human capital externality on earnings and private returns to education. The earnings equations are estimated using the OLS method for a sample of full-time workers. The results show that human capital has a positive effect on earnings, indicating that an increase in education benefits all workers. However, men benefit more from women's education than the women do from men's. The effects of human capital externality on private returns to schooling are shown to vary substantially between rural and urban areas and across levels of the education system.

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File URL: http://www.econ.uconn.edu/working/2004-08.pdf
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Publisher Info
Paper provided by University of Connecticut, Department of Economics in its series Working papers with number 2004-08.

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Length: 32 pages
Date of creation: Apr 2004
Date of revision:
Handle: RePEc:uct:uconnp:2004-08

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Postal: University of Connecticut 341 Mansfield Road, Unit 1063 Storrs, CT 06269-1063
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Related research
Keywords: Human capital externality; returns to education; earnings; Kenya;

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Find related papers by JEL classification:
I20 - Health, Education, and Welfare - - Education - - - General

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    Other versions:
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    Other versions:
  6. Weir, Sharada & Knight, John, 2004. "Externality Effects of Education: Dynamics of the Adoption and Diffusion of an Innovation in Rural Ethiopia," Economic Development and Cultural Change, University of Chicago Press, vol. 53(1), pages 93-113, October.
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  24. Gaston, Noel & Tenjo, Jaime, 1992. "Educational Attainment and Earnings Determination in Colombia," Economic Development and Cultural Change, University of Chicago Press, vol. 41(1), pages 125-39, October.
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