ROI of education: how economists estimate it + US economic update - EP152

Do you get a return on investment if you get a university or college degree? Does the taxpayer get an ROI for any subsidies provided? Economics Explored host Gene Tunny discusses how economists crunch the numbers on the ROI of education with his colleague Arturo Espinoza. Gene also gives an update on the US economy, covering the strong jobs growth figure for July 2022 among other indicators. Links relevant to the conversation Macrobond charts and commentary on the US economy https://drive.google.com/file/d/16u6pj-xjVcF5F6zfy5W99cDaClUwlsGF/view?usp=sharing Sheepskin effect: https://en.wikipedia.org/wiki/Sheepskin_effect Estimating the return to schooling using the Mincer equation by Harry Anthony Patrinos, World Bank and Georgetown University https://wol.iza.org/uploads/articles/278/pdfs/estimating-return-to-schooling-using-mincer-equation.pdf Evaluating the Return on Investment in Higher Education: An Assessment of Individual- and State-Level Returns by Kristin Blagg and Erica Blom, Urban Institute https://www.urban.org/research/publication/evaluating-return-investment-higher-education Reassessing the College Wage Premium Payoff by Jack Salmon, Mercatus Center, George Mason University https://www.jamesgmartin.center/2021/03/reassessing-the-college-wage-premium-payoff/ Rich Roll’s podcast: https://www.richroll.com/all-episodes/ Graduate Winners: Assessing the public and private benefits of higher education by Andrew Norton https://grattan.edu.au/report/graduate-winners-assessing-the-public-and-private-benefits-of-higher-education/ Estimating the public and private benefits of higher education report from Deloitte Access Economics https://www.dese.gov.au/higher-education-reviews-and-consultations/resources/estimating-public-and-private-benefits-higher-education Median weekly hours data by qualification for Australia https://www.abs.gov.au/statistics/labour/earnings-and-working-conditions/characteristics-employment-australia/latest-release Please consider signing up to receive our email updates and to access our e-book Top Ten Insights from Economics at www.economicsexplored.com. Also, please get in touch with any questions, comments and suggestions by emailing us at [email protected] or sending a voice message via https://www.speakpipe.com/economicsexplored. Thanks to Josh Crotts for mixing the episode and to the show’s sponsor, Gene’s consultancy business www.adepteconomics.com.au.