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Individual Earnings and Educational Externalities in the European Union

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  • Andr�s Rodr�guez-Pose
  • Vassilis Tselios

Abstract

Rodr�guez-Pose A. and Tselios V. Individual earnings and educational externalities in the European Union, Regional Studies . This paper examines whether differences in educational externalities affect individual earnings across regions in the European Union. Using microeconomic data from the European Community Household Panel, it resorts to spatial economic analysis in order to determine to what extent differences in individual earnings are the result of (1) the educational attainment of the individual, (2) the educational attainment of the other members of the household in which he/she lives, (3) the educational endowment of the region where the individual lives, or (4) the educational endowment of the neighbouring regions. The results highlight that, in addition to the expected positive returns of personal educational attainment, place-based regional and supra-regional educational externalities generate significant pecuniary benefits for workers. These findings are robust to the inclusion of different individual, household, and regional control variables. Rodr�guez-Pose A. et Tselios V. Les gains individuels et les effets externes de l'�ducation dans l'Union europ�enne, Regional Studies . Cet article cherche à examiner si, oui ou non, les diff�rents effets externes de l'�ducation influent sur les gains individuels à travers les r�gions de l'Union europ�enne. Employant des donn�es micro�conomiques provenant du European Community Household Panel (�chantillon permanent des foyers de l'Union europ�enne), on a recours à une analyse �conomique spatiale afin de d�terminer jusqu'à quel point les �carts des revenus individuels s'expliquent par (1) la r�ussite scolaire de l'individu, (2) par la r�ussite scolaire des autres membres du foyer, (3) par la dotation en �quipement scolaire de la r�gion où habite l'individu, ou bien (4) par la dotation en �quipement scolaire des r�gions voisines. En plus des rendements positifs pr�vus de la r�ussite scolaire de l'individu, les r�sultats soulignent les avantages p�cuniaires non-n�gligeables pour les travailleurs des effets externes r�gionaux et suprar�gionaux de l'�ducation qui sont bas�s sur l'endroit. Ces r�sultats s'avèrent robustes quand on inclut des variables de contrôle diff�rentes pour l'individu, le foyer et la r�gion. Gains individuels R�ussite scolaire Effets externes Foyers R�gions Europe Rodr�guez-Pose A. und Tselios V. Individuelles Einkommen und Bildungsexternalitäten in der Europäischen Union, Regional Studies . In diesem Beitrag wird untersucht, ob sich die Unterschiede bei den Bildungsexternalitäten auf das individuelle Einkommen in verschiedenen Regionen der Europäischen Union auswirken. Ausgehend von mikroökonomischen Daten des Haushaltspanels der Europäischen Gemeinschaft wird eine räumliche Wirtschaftsanalyse durchgeführt, um festzustellen, in welchem Umfang die Unterschiede bei den individuellen Einkommen auf (1) den Bildungsgrad der Person, (2) den Bildungsgrad der anderen Mitglieder des Haushalts dieser Person, (3) den Bildungsstand der Region, in der die Person lebt, oder (4) den Bildungsstand der angrenzenden Regionen zurückzuführen sind. Aus den Ergebnissen geht hervor, dass zusätzlich zu den erwarteten positiven Ergebnissen des persönlichen Bildungsgrades auch die ortsgebundenen regionalen und supraregionalen Bildungsexternalitäten für die Arbeitnehmer mit signifikanten finanziellen Vorteilen verbunden sind. Diese Ergebnisse bleiben auch bei Berücksichtigung verschiedener individueller, Haushalts- und regionaler Kontrollvariablen robust. Individuelles Einkommen Bildungsgrad Externalitäten Haushalte Regionen Europa Rodr�guez-Pose A. y Tselios V. Ingresos individuales y externalidades educativas en la Unión Europea, Regional Studies . En este art�culo se examina si las diferencias de las externalidades educativas entre las regiones de la UE influyen sobre los ingresos económicos de los individuos. Mediante un análisis económico de carácter espacial y utilizando datos microeconómicos provenientes de la Encuesta Europea de Familias se intenta determinar si las diferencias de los ingresos entre individuos en distintas regiones de la UE son el resultado de (1) el nivel educativo de cada individuo, (2) el nivel educativo de los demás miembros de la unidad familiar, (3) el nivel educativo de la región en la que se vive o (4) el nivel educativo de las áreas vecinas. Los resultados demuestran que, además de los rendimientos positivos ligados al nivel personal de formación, las externalidades geográficas de carácter regional y supra-regional generan importantes beneficios pecuniarios para los trabajadores. Estos resultados son sólidos para la inclusión de distintas variables de control de tipo individual, familiar y regional. Ingresos individuales Nivel de formación Externalidades Unidades familiares Regiones Europa

Suggested Citation

  • Andr�s Rodr�guez-Pose & Vassilis Tselios, 2012. "Individual Earnings and Educational Externalities in the European Union," Regional Studies, Taylor & Francis Journals, vol. 46(1), pages 39-57, February.
    • Handle: RePEc:taf:regstd:v:46:y:2012:i:1:p:39-57
    DOI: 10.1080/00343404.2010.485351
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    1. Angel de la Fuente, 2003. "Human capital in a global and knowledge-based economy," UFAE and IAE Working Papers 576.03, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
    2. Rikard Eriksson, 2010. "Localized Spillovers and Knowledge Flows: How Does Proximity Influence the Performance of Plants?," Papers in Evolutionary Economic Geography (PEEG) 1004, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Mar 2010.
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    1. Natavan Namazova, 2023. "Changing the Level of Education and Career Choice Depending on the Socioeconomic Status of the Family: Evidence from Azerbaijan," Sustainability, MDPI, vol. 15(22), pages 1-13, November.
    2. Combes, Pierre-Philippe & Gobillon, Laurent, 2015. "The Empirics of Agglomeration Economies," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 247-348, Elsevier.
    3. Andrés Rodríguez-Pose & Tobias D. Ketterer, 2012. "Do Local Amenities Affect The Appeal Of Regions In Europe For Migrants?," Journal of Regional Science, Wiley Blackwell, vol. 52(4), pages 535-561, October.
    4. Backman, Mikaela & Kohlhase, Janet, 2013. "The Influence of Diversity on the Formation, Survival and Growth of New Firms," Working Paper Series in Economics and Institutions of Innovation 337, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
    5. Chauvin, Juan Pablo & Glaeser, Edward & Ma, Yueran & Tobio, Kristina, 2017. "What is different about urbanization in rich and poor countries? Cities in Brazil, China, India and the United States," Journal of Urban Economics, Elsevier, vol. 98(C), pages 17-49.
    6. Andrés Rodríguez-Pose & Vassilis Tselios, 2012. "Welfare Regimes and the Incentives to Work and Get Educated," Environment and Planning A, , vol. 44(1), pages 125-149, January.
    7. Brambert Patryk & Kiniorska Iwona, 2018. "Changes in the Standard of Living in Rural Population of Poland in the Period of the Eu Membership," European Countryside, Sciendo, vol. 10(2), pages 263-279, June.
    8. Andrés Rodríguez-Pose & Tobias Ketterer, 2015. "Do we follow the money? The drivers of migration across regions in the EU," REGION, European Regional Science Association, vol. 2, pages 27-45.
    9. Ward, Michael R., 2018. "“Cutting class to play video games”," Information Economics and Policy, Elsevier, vol. 42(C), pages 11-19.
    10. Yannis Psycharis & Vassilis Tselios & Panagiotis Pantazis, 2024. "Cohesion policy and household income inequality: evidence from the Greek regions," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 73(4), pages 1563-1591, December.
    11. Sofia Wixe, 2015. "The Impact of Spatial Externalities: Skills, Education and Plant Productivity," Regional Studies, Taylor & Francis Journals, vol. 49(12), pages 2053-2069, December.

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