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Education and Earnings nexus in Zimbabwe after the 2005-2008 hyper-inflationary period: An empirical analysis

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  • Munyanyi, Musharavati Ephraim

Abstract

This study seeks to investigate the impact of education on individual earnings after the hyper-inflationary period (2005 - 2008). It follows the Mincerian Human Capital Model (log-linear approach). Data is collected through the use of questionnaires from government ministries during the calendar year 2012. The sample consists of 250 individuals (125 males and 125 females). Individual Earnings are regressed against human capital variables, as well as socio-economic variables. According to the results, levels of education and work experience in years are positively and significantly contributing to monthly individual earnings. The study suggests that Government should invest in education. The results also imply that there is dire need for establishment of institutes for technical education that train individuals according to requirements of the labour market and emphasis should be given to such programs which have a gap. This market oriented approach will boost human resources that can play a major role in accelerating the pace of development of the economy in the long run.

Suggested Citation

  • Munyanyi, Musharavati Ephraim, 2012. "Education and Earnings nexus in Zimbabwe after the 2005-2008 hyper-inflationary period: An empirical analysis," MPRA Paper 75112, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:75112
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    References listed on IDEAS

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    More about this item

    Keywords

    Earnings; Education; Mincerian Equation; Human Capital Model; Zimbabwe;
    All these keywords.

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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