Globalization, welfare, and the attitudes toward higher education
Author
Hromcová, Jana
Agnese, Pablo
Publication date
2019ISSN
0264-9993
Abstract
In this paper we study how the attitudes toward higher education may affect labor market outcomes in the context of globalization. In particular, we show that different educational attitudes are responsible for differences in the wage differential among countries. Using a matching model with two types of workers and firms, we find that there is a trade-off between the wage differential and the workers’ welfare, namely, that an economy that is less willing to educate itself will display a lower wage differential but will lose in terms of welfare. Moreover, from a policy perspective, we show that the negative effects on welfare due to this disinclination to study can be offset by increased labor market flexibility. All things considered, policy makers ought to keep in mind that both a positive attitude toward higher education and labor market flexibility, can lead to improved overall performance in this increasingly globalized world.
Document Type
Article
Document version
Published version
Language
English
Subject (CDU)
37 - Education
Keywords
Educació
Educación
Education
Pages
14
Publisher
Elsevier
Collection
81
Is part of
Economic Modelling
Citation
Hromcová, Jana; Agnese, Pablo. Globalization, welfare, and the attitudes toward higher education. Economic Modelling, 2019, 81, p. 503-517. Disponible en: <https://www.sciencedirect.com/science/article/abs/pii/S0264999317317728>. Fecha de acceso: 26 feb. 2024. DOI: 10.1016/j.econmod.2018.05.013
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Rights
© 2018 Elsevier B.V. All rights reserved.