Evolution of Earnings and Rates of Returns to Education in Mexico

Reviewing the factors, and mechanisms that have been driving inequality in earnings in Mexico, the author finds that inequality in education, accounts for the largest share by far of the variation in earnings. In fact, the contribution of educational inequality to earnings inequality in Mexico, ranks second in size in Latin America, after that in Brazil, and its significance has been increasing. Moreover, the income effect is always prevalent, and the distribution of education is highly significant, even after controlling for changes in other relevant variables, such as age, region, economic sector, and labor market status. But the increase in earnings inequality in Mexico, does not appear to be the result of a worsening in the distribution of education - although the income profile, which is related to returns to schooling, has become much steeper. This means that the shift in demand toward high-skilled labor, has not been matched by an increase in supply. The probable reason: the increased economic openness in Mexico has facilitated skill-biased technological change.

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Bibliographic Details
Main Author: Lopez-Acevedo, Gladys
Language:English
en_US
Published: World Bank, Washington, DC 2001-10
Subjects:CAPITAL GAINS, COMPARATIVE ADVANTAGE, DATA SET, DECOMPOSITION ANALYSIS, DEVELOPED COUNTRIES, DEVELOPING COUNTRIES, DOMESTIC DEMAND, EARNINGS INEQUALITY, ECONOMIC DEVELOPMENT, ECONOMIC GROWTH, ECONOMIC SECTOR, ECONOMIC SECTORS, ECONOMIC STAGNATION, EDUCATIONAL ATTAINMENT, EDUCATIONAL INEQUALITY, EGALITARIAN DISTRIBUTION, ELASTICITIES, EMPLOYMENT, ENDOGENOUS VARIABLE, EXPENDITURES, EXPLANATORY POWER, EXPORTS, FINANCIAL CRISIS, GDP, GDP PER CAPITA, GINI COEFFICIENT, GROSS DOMESTIC PRODUCT, GROSS DOMESTIC PRODUCT PER CAPITA, GROWTH RATE, HOUSEHOLD INCOME, HOUSEHOLD MEMBERS, IMPORTS, INCOME, INCOME DISTRIBUTION, INCOME EFFECT, INCOME INEQUALITY, INCOME SHARE, INCREASING RETURNS, INEQUALITY INDEX, INEQUALITY MEASURE, INEQUALITY MEASURES, INFLATION, INTERNATIONAL EXCHANGE, LABOR FORCE, LABOR MARKET, MEAN INCOME, MONETARY TRANSFERS, NATIONAL LEVEL, POLICY RESEARCH, POPULATION SHARE, POVERTY REDUCTION, PRIMARY SCHOOL, PRIVATE SECTOR, PUBLIC POLICY, PUBLIC SECTOR, QUANTILE REGRESSIONS, REAL GDP, REAL WAGE, REAL WAGES, RELATIVE DEMAND, RELATIVE EARNINGS, RISING INEQUALITY, SKILL PREMIUM, SKILLED LABOR, SKILLED WORKERS, SOCIAL SERVICES, STRUCTURAL CHANGE, TECHNOLOGICAL CHANGE, TRADE BARRIERS, UNEMPLOYMENT, UNEMPLOYMENT RATE, UNEQUAL DISTRIBUTION, WAGE DECLINES, WAGE DIFFERENTIALS, WAGE INEQUALITY, WELL-BEING,
Online Access:http://documents.worldbank.org/curated/en/2001/10/1615018/evolution-earnings-rates-returns-education-mexico
https://hdl.handle.net/10986/19515
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spelling dig-okr-10986195152024-08-08T17:59:05Z Evolution of Earnings and Rates of Returns to Education in Mexico Lopez-Acevedo, Gladys CAPITAL GAINS COMPARATIVE ADVANTAGE DATA SET DECOMPOSITION ANALYSIS DEVELOPED COUNTRIES DEVELOPING COUNTRIES DOMESTIC DEMAND EARNINGS INEQUALITY ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC SECTOR ECONOMIC SECTORS ECONOMIC STAGNATION EDUCATIONAL ATTAINMENT EDUCATIONAL INEQUALITY EGALITARIAN DISTRIBUTION ELASTICITIES EMPLOYMENT ENDOGENOUS VARIABLE EXPENDITURES EXPLANATORY POWER EXPORTS FINANCIAL CRISIS GDP GDP PER CAPITA GINI COEFFICIENT GROSS DOMESTIC PRODUCT GROSS DOMESTIC PRODUCT PER CAPITA GROWTH RATE HOUSEHOLD INCOME HOUSEHOLD MEMBERS IMPORTS INCOME INCOME DISTRIBUTION INCOME EFFECT INCOME INEQUALITY INCOME SHARE INCREASING RETURNS INEQUALITY INDEX INEQUALITY MEASURE INEQUALITY MEASURES INFLATION INTERNATIONAL EXCHANGE LABOR FORCE LABOR MARKET MEAN INCOME MONETARY TRANSFERS NATIONAL LEVEL POLICY RESEARCH POPULATION SHARE POVERTY REDUCTION PRIMARY SCHOOL PRIVATE SECTOR PUBLIC POLICY PUBLIC SECTOR QUANTILE REGRESSIONS REAL GDP REAL WAGE REAL WAGES RELATIVE DEMAND RELATIVE EARNINGS RISING INEQUALITY SKILL PREMIUM SKILLED LABOR SKILLED WORKERS SOCIAL SERVICES STRUCTURAL CHANGE TECHNOLOGICAL CHANGE TRADE BARRIERS UNEMPLOYMENT UNEMPLOYMENT RATE UNEQUAL DISTRIBUTION WAGE DECLINES WAGE DIFFERENTIALS WAGE INEQUALITY WELL-BEING Reviewing the factors, and mechanisms that have been driving inequality in earnings in Mexico, the author finds that inequality in education, accounts for the largest share by far of the variation in earnings. In fact, the contribution of educational inequality to earnings inequality in Mexico, ranks second in size in Latin America, after that in Brazil, and its significance has been increasing. Moreover, the income effect is always prevalent, and the distribution of education is highly significant, even after controlling for changes in other relevant variables, such as age, region, economic sector, and labor market status. But the increase in earnings inequality in Mexico, does not appear to be the result of a worsening in the distribution of education - although the income profile, which is related to returns to schooling, has become much steeper. This means that the shift in demand toward high-skilled labor, has not been matched by an increase in supply. The probable reason: the increased economic openness in Mexico has facilitated skill-biased technological change. 2014-08-20T19:39:33Z 2014-08-20T19:39:33Z 2001-10 http://documents.worldbank.org/curated/en/2001/10/1615018/evolution-earnings-rates-returns-education-mexico https://hdl.handle.net/10986/19515 English en_US Policy Research Working Paper;No. 2691 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ application/pdf text/plain World Bank, Washington, DC
institution Banco Mundial
collection DSpace
country Estados Unidos
countrycode US
component Bibliográfico
access En linea
databasecode dig-okr
tag biblioteca
region America del Norte
libraryname Biblioteca del Banco Mundial
language English
en_US
topic CAPITAL GAINS
COMPARATIVE ADVANTAGE
DATA SET
DECOMPOSITION ANALYSIS
DEVELOPED COUNTRIES
DEVELOPING COUNTRIES
DOMESTIC DEMAND
EARNINGS INEQUALITY
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC SECTOR
ECONOMIC SECTORS
ECONOMIC STAGNATION
EDUCATIONAL ATTAINMENT
EDUCATIONAL INEQUALITY
EGALITARIAN DISTRIBUTION
ELASTICITIES
EMPLOYMENT
ENDOGENOUS VARIABLE
EXPENDITURES
EXPLANATORY POWER
EXPORTS
FINANCIAL CRISIS
GDP
GDP PER CAPITA
GINI COEFFICIENT
GROSS DOMESTIC PRODUCT
GROSS DOMESTIC PRODUCT PER CAPITA
GROWTH RATE
HOUSEHOLD INCOME
HOUSEHOLD MEMBERS
IMPORTS
INCOME
INCOME DISTRIBUTION
INCOME EFFECT
INCOME INEQUALITY
INCOME SHARE
INCREASING RETURNS
INEQUALITY INDEX
INEQUALITY MEASURE
INEQUALITY MEASURES
INFLATION
INTERNATIONAL EXCHANGE
LABOR FORCE
LABOR MARKET
MEAN INCOME
MONETARY TRANSFERS
NATIONAL LEVEL
POLICY RESEARCH
POPULATION SHARE
POVERTY REDUCTION
PRIMARY SCHOOL
PRIVATE SECTOR
PUBLIC POLICY
PUBLIC SECTOR
QUANTILE REGRESSIONS
REAL GDP
REAL WAGE
REAL WAGES
RELATIVE DEMAND
RELATIVE EARNINGS
RISING INEQUALITY
SKILL PREMIUM
SKILLED LABOR
SKILLED WORKERS
SOCIAL SERVICES
STRUCTURAL CHANGE
TECHNOLOGICAL CHANGE
TRADE BARRIERS
UNEMPLOYMENT
UNEMPLOYMENT RATE
UNEQUAL DISTRIBUTION
WAGE DECLINES
WAGE DIFFERENTIALS
WAGE INEQUALITY
WELL-BEING
CAPITAL GAINS
COMPARATIVE ADVANTAGE
DATA SET
DECOMPOSITION ANALYSIS
DEVELOPED COUNTRIES
DEVELOPING COUNTRIES
DOMESTIC DEMAND
EARNINGS INEQUALITY
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC SECTOR
ECONOMIC SECTORS
ECONOMIC STAGNATION
EDUCATIONAL ATTAINMENT
EDUCATIONAL INEQUALITY
EGALITARIAN DISTRIBUTION
ELASTICITIES
EMPLOYMENT
ENDOGENOUS VARIABLE
EXPENDITURES
EXPLANATORY POWER
EXPORTS
FINANCIAL CRISIS
GDP
GDP PER CAPITA
GINI COEFFICIENT
GROSS DOMESTIC PRODUCT
GROSS DOMESTIC PRODUCT PER CAPITA
GROWTH RATE
HOUSEHOLD INCOME
HOUSEHOLD MEMBERS
IMPORTS
INCOME
INCOME DISTRIBUTION
INCOME EFFECT
INCOME INEQUALITY
INCOME SHARE
INCREASING RETURNS
INEQUALITY INDEX
INEQUALITY MEASURE
INEQUALITY MEASURES
INFLATION
INTERNATIONAL EXCHANGE
LABOR FORCE
LABOR MARKET
MEAN INCOME
MONETARY TRANSFERS
NATIONAL LEVEL
POLICY RESEARCH
POPULATION SHARE
POVERTY REDUCTION
PRIMARY SCHOOL
PRIVATE SECTOR
PUBLIC POLICY
PUBLIC SECTOR
QUANTILE REGRESSIONS
REAL GDP
REAL WAGE
REAL WAGES
RELATIVE DEMAND
RELATIVE EARNINGS
RISING INEQUALITY
SKILL PREMIUM
SKILLED LABOR
SKILLED WORKERS
SOCIAL SERVICES
STRUCTURAL CHANGE
TECHNOLOGICAL CHANGE
TRADE BARRIERS
UNEMPLOYMENT
UNEMPLOYMENT RATE
UNEQUAL DISTRIBUTION
WAGE DECLINES
WAGE DIFFERENTIALS
WAGE INEQUALITY
WELL-BEING
spellingShingle CAPITAL GAINS
COMPARATIVE ADVANTAGE
DATA SET
DECOMPOSITION ANALYSIS
DEVELOPED COUNTRIES
DEVELOPING COUNTRIES
DOMESTIC DEMAND
EARNINGS INEQUALITY
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC SECTOR
ECONOMIC SECTORS
ECONOMIC STAGNATION
EDUCATIONAL ATTAINMENT
EDUCATIONAL INEQUALITY
EGALITARIAN DISTRIBUTION
ELASTICITIES
EMPLOYMENT
ENDOGENOUS VARIABLE
EXPENDITURES
EXPLANATORY POWER
EXPORTS
FINANCIAL CRISIS
GDP
GDP PER CAPITA
GINI COEFFICIENT
GROSS DOMESTIC PRODUCT
GROSS DOMESTIC PRODUCT PER CAPITA
GROWTH RATE
HOUSEHOLD INCOME
HOUSEHOLD MEMBERS
IMPORTS
INCOME
INCOME DISTRIBUTION
INCOME EFFECT
INCOME INEQUALITY
INCOME SHARE
INCREASING RETURNS
INEQUALITY INDEX
INEQUALITY MEASURE
INEQUALITY MEASURES
INFLATION
INTERNATIONAL EXCHANGE
LABOR FORCE
LABOR MARKET
MEAN INCOME
MONETARY TRANSFERS
NATIONAL LEVEL
POLICY RESEARCH
POPULATION SHARE
POVERTY REDUCTION
PRIMARY SCHOOL
PRIVATE SECTOR
PUBLIC POLICY
PUBLIC SECTOR
QUANTILE REGRESSIONS
REAL GDP
REAL WAGE
REAL WAGES
RELATIVE DEMAND
RELATIVE EARNINGS
RISING INEQUALITY
SKILL PREMIUM
SKILLED LABOR
SKILLED WORKERS
SOCIAL SERVICES
STRUCTURAL CHANGE
TECHNOLOGICAL CHANGE
TRADE BARRIERS
UNEMPLOYMENT
UNEMPLOYMENT RATE
UNEQUAL DISTRIBUTION
WAGE DECLINES
WAGE DIFFERENTIALS
WAGE INEQUALITY
WELL-BEING
CAPITAL GAINS
COMPARATIVE ADVANTAGE
DATA SET
DECOMPOSITION ANALYSIS
DEVELOPED COUNTRIES
DEVELOPING COUNTRIES
DOMESTIC DEMAND
EARNINGS INEQUALITY
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC SECTOR
ECONOMIC SECTORS
ECONOMIC STAGNATION
EDUCATIONAL ATTAINMENT
EDUCATIONAL INEQUALITY
EGALITARIAN DISTRIBUTION
ELASTICITIES
EMPLOYMENT
ENDOGENOUS VARIABLE
EXPENDITURES
EXPLANATORY POWER
EXPORTS
FINANCIAL CRISIS
GDP
GDP PER CAPITA
GINI COEFFICIENT
GROSS DOMESTIC PRODUCT
GROSS DOMESTIC PRODUCT PER CAPITA
GROWTH RATE
HOUSEHOLD INCOME
HOUSEHOLD MEMBERS
IMPORTS
INCOME
INCOME DISTRIBUTION
INCOME EFFECT
INCOME INEQUALITY
INCOME SHARE
INCREASING RETURNS
INEQUALITY INDEX
INEQUALITY MEASURE
INEQUALITY MEASURES
INFLATION
INTERNATIONAL EXCHANGE
LABOR FORCE
LABOR MARKET
MEAN INCOME
MONETARY TRANSFERS
NATIONAL LEVEL
POLICY RESEARCH
POPULATION SHARE
POVERTY REDUCTION
PRIMARY SCHOOL
PRIVATE SECTOR
PUBLIC POLICY
PUBLIC SECTOR
QUANTILE REGRESSIONS
REAL GDP
REAL WAGE
REAL WAGES
RELATIVE DEMAND
RELATIVE EARNINGS
RISING INEQUALITY
SKILL PREMIUM
SKILLED LABOR
SKILLED WORKERS
SOCIAL SERVICES
STRUCTURAL CHANGE
TECHNOLOGICAL CHANGE
TRADE BARRIERS
UNEMPLOYMENT
UNEMPLOYMENT RATE
UNEQUAL DISTRIBUTION
WAGE DECLINES
WAGE DIFFERENTIALS
WAGE INEQUALITY
WELL-BEING
Lopez-Acevedo, Gladys
Evolution of Earnings and Rates of Returns to Education in Mexico
description Reviewing the factors, and mechanisms that have been driving inequality in earnings in Mexico, the author finds that inequality in education, accounts for the largest share by far of the variation in earnings. In fact, the contribution of educational inequality to earnings inequality in Mexico, ranks second in size in Latin America, after that in Brazil, and its significance has been increasing. Moreover, the income effect is always prevalent, and the distribution of education is highly significant, even after controlling for changes in other relevant variables, such as age, region, economic sector, and labor market status. But the increase in earnings inequality in Mexico, does not appear to be the result of a worsening in the distribution of education - although the income profile, which is related to returns to schooling, has become much steeper. This means that the shift in demand toward high-skilled labor, has not been matched by an increase in supply. The probable reason: the increased economic openness in Mexico has facilitated skill-biased technological change.
topic_facet CAPITAL GAINS
COMPARATIVE ADVANTAGE
DATA SET
DECOMPOSITION ANALYSIS
DEVELOPED COUNTRIES
DEVELOPING COUNTRIES
DOMESTIC DEMAND
EARNINGS INEQUALITY
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC SECTOR
ECONOMIC SECTORS
ECONOMIC STAGNATION
EDUCATIONAL ATTAINMENT
EDUCATIONAL INEQUALITY
EGALITARIAN DISTRIBUTION
ELASTICITIES
EMPLOYMENT
ENDOGENOUS VARIABLE
EXPENDITURES
EXPLANATORY POWER
EXPORTS
FINANCIAL CRISIS
GDP
GDP PER CAPITA
GINI COEFFICIENT
GROSS DOMESTIC PRODUCT
GROSS DOMESTIC PRODUCT PER CAPITA
GROWTH RATE
HOUSEHOLD INCOME
HOUSEHOLD MEMBERS
IMPORTS
INCOME
INCOME DISTRIBUTION
INCOME EFFECT
INCOME INEQUALITY
INCOME SHARE
INCREASING RETURNS
INEQUALITY INDEX
INEQUALITY MEASURE
INEQUALITY MEASURES
INFLATION
INTERNATIONAL EXCHANGE
LABOR FORCE
LABOR MARKET
MEAN INCOME
MONETARY TRANSFERS
NATIONAL LEVEL
POLICY RESEARCH
POPULATION SHARE
POVERTY REDUCTION
PRIMARY SCHOOL
PRIVATE SECTOR
PUBLIC POLICY
PUBLIC SECTOR
QUANTILE REGRESSIONS
REAL GDP
REAL WAGE
REAL WAGES
RELATIVE DEMAND
RELATIVE EARNINGS
RISING INEQUALITY
SKILL PREMIUM
SKILLED LABOR
SKILLED WORKERS
SOCIAL SERVICES
STRUCTURAL CHANGE
TECHNOLOGICAL CHANGE
TRADE BARRIERS
UNEMPLOYMENT
UNEMPLOYMENT RATE
UNEQUAL DISTRIBUTION
WAGE DECLINES
WAGE DIFFERENTIALS
WAGE INEQUALITY
WELL-BEING
author Lopez-Acevedo, Gladys
author_facet Lopez-Acevedo, Gladys
author_sort Lopez-Acevedo, Gladys
title Evolution of Earnings and Rates of Returns to Education in Mexico
title_short Evolution of Earnings and Rates of Returns to Education in Mexico
title_full Evolution of Earnings and Rates of Returns to Education in Mexico
title_fullStr Evolution of Earnings and Rates of Returns to Education in Mexico
title_full_unstemmed Evolution of Earnings and Rates of Returns to Education in Mexico
title_sort evolution of earnings and rates of returns to education in mexico
publisher World Bank, Washington, DC
publishDate 2001-10
url http://documents.worldbank.org/curated/en/2001/10/1615018/evolution-earnings-rates-returns-education-mexico
https://hdl.handle.net/10986/19515
work_keys_str_mv AT lopezacevedogladys evolutionofearningsandratesofreturnstoeducationinmexico
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