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English language premium: Evidence from a policy experiment in India

Author

Listed:
  • Chakraborty, Tanika
  • Bakshi, Shilpi Kapur

Abstract

In this paper, we estimate the English premium in a globalizing economy, by exploiting an exogenous language policy intervention in India that abolished teaching of English in public primary schools. Our results indicate that a 10% lower probability of learning English in primary schools leads to a decline in weekly wages by 8%. On an average, this implies 26% lower wages for cohorts exposed to the policy change. We find supporting evidence that occupational choice played an important role in determining this wage-gap.

Suggested Citation

  • Chakraborty, Tanika & Bakshi, Shilpi Kapur, 2016. "English language premium: Evidence from a policy experiment in India," Economics of Education Review, Elsevier, vol. 50(C), pages 1-16.
    • Handle: RePEc:eee:ecoedu:v:50:y:2016:i:c:p:1-16
    DOI: 10.1016/j.econedurev.2015.10.004
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    More about this item

    Keywords

    English premium; Language; Triple difference; Education policy; Wage; Occupation;
    All these keywords.

    JEL classification:

    • H4 - Public Economics - - Publicly Provided Goods
    • I2 - Health, Education, and Welfare - - Education
    • J0 - Labor and Demographic Economics - - General
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development

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