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Legacy of Czar: The Russian Dual System of Schooling and Signaling

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Listed:
  • ZHANGALIYEVA, Aigerim
  • NAKABAYASHI, Masaki

    (Institute of Social Science, The University of Tokyo)

Abstract

Employers use the educational background as a signal of workers' latent abilities. This signaling effect decreases as employers learn about workers' abilities as the workers acquire work experience. The effect results in a negative coefficient of the interaction term between schooling and experience in a wage equation. Meanwhile, if schooling and experience are complements, it affects the coefficient in the other way. We expect the latter effect is more significant in case of the vocational schooling. Using a Russian dataset, we show that employer learning is more weakly observed for graduates of vocational tertiary schools than those of general tertiary schools. The results might apply to other European countries that have adopted the dual system of general and vocational schooling.

Suggested Citation

  • ZHANGALIYEVA, Aigerim & NAKABAYASHI, Masaki, 2013. "Legacy of Czar: The Russian Dual System of Schooling and Signaling," ISS Discussion Paper Series (series F) f163, Institute of Social Science, The University of Tokyo, revised 04 Sep 2019.
    • Handle: RePEc:itk:issdps:f163
    as

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    References listed on IDEAS

    as
    1. Joseph G. Altonji & Charles R. Pierret, 2001. "Employer Learning and Statistical Discrimination," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 116(1), pages 313-350.
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    More about this item

    Keywords

    European dual system; vocational schooling; employer learning; schooling and experience complementarity; Russia.;
    All these keywords.

    JEL classification:

    • I26 - Health, Education, and Welfare - - Education - - - Returns to Education
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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