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Credential Changes and Education Earnings Premia in Australia

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  • MICHAEL COELLI
  • ROGER WILKINS

Abstract

Post‐school education earnings premia have remained strikingly stable over the 1981 to 2003–2004 period in Australia. This stability contrasts sharply with the rising college premium observed in the USA. The observed stability in Australia may in part be due to changes in the credentials earned by individuals entering certain professional occupations (especially nursing and teaching) during the period, particularly for women. We construct an estimate of the potential effect of within‐occupation credential changes on estimates of education earnings premia in Australia over time.

Suggested Citation

  • Michael Coelli & Roger Wilkins, 2009. "Credential Changes and Education Earnings Premia in Australia," The Economic Record, The Economic Society of Australia, vol. 85(270), pages 239-259, September.
    • Handle: RePEc:bla:ecorec:v:85:y:2009:i:270:p:239-259
    DOI: 10.1111/j.1475-4932.2009.00555.x
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    References listed on IDEAS

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    1. Leigh, Andrew & Ryan, Chris, 2008. "Estimating returns to education using different natural experiment techniques," Economics of Education Review, Elsevier, vol. 27(2), pages 149-160, April.
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    Cited by:

    1. Arpita Chatterjee & Aarti Singh & Tahlee Stone, 2016. "Understanding Wage Inequality in Australia," The Economic Record, The Economic Society of Australia, vol. 92(298), pages 348-360, September.
    2. Tom Karmel, 2015. "Skills Deepening or Credentialism? Education Qualifications and Occupational Outcomes, 1996-2011," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 18(1), pages 29-51.
    3. Celeste K. Carruthers & Christopher Jepsen, 2020. "Vocational Education: An International Perspective," CESifo Working Paper Series 8718, CESifo.
    4. Owen Freestone, 2018. "The Drivers of Life‐Cycle Wage Inequality in Australia," The Economic Record, The Economic Society of Australia, vol. 94(307), pages 424-444, December.
    5. Kopatz, Susanne & Pilz, Matthias, 2015. "The Academic Takes it All? A Comparison of Returns to Investment in Education between Graduates and Apprentices in Canada," International Journal for Research in Vocational Education and Training (IJRVET), European Research Network in Vocational Education and Training (VETNET), European Educational Research Association, vol. 2(4), pages 308-325.
    6. Bryn Lampe & Catherine de Fontenay & Jessica Nugent & Patrick Jomini, 2022. "Climbing the Jobs Ladder Slower: Young People in a Weak Labour Market," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 55(1), pages 40-70, March.
    7. Elisa R. Birch & Alison C. Preston, 2021. "The Evolving Wage Structure of Young Adults in Australia: 2001 to 2019," The Economic Record, The Economic Society of Australia, vol. 97(318), pages 365-386, September.
    8. Jeff Borland & Michael Coelli, 2016. "Labour Market Inequality in Australia," The Economic Record, The Economic Society of Australia, vol. 92(299), pages 517-547, December.
    9. Roger Wilkins & Mark Wooden, 2014. "Two Decades of Change: The Australian Labour Market, 1993–2013," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 47(4), pages 417-431, December.

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    More about this item

    JEL classification:

    • I20 - Health, Education, and Welfare - - Education - - - General
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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