Recent evidence indicates substantial heterogeneity in the returns to skills across countries, but only a few studies have explained the varying patterns in the return to skills. Using the 2013 STEP data for Ghana and Kenya, we estimate the causal effect of cognitive and noncognitive skills on a large set of labour market outcomes by controlling…

Ample evidence indicates that a person's human capital is important for success on the labor market in terms of both wages and employment prospects. However, unlike the efforts to identify the impact of school attainment on labor-market outcomes, the literature on returns to cognitive skills has not yet provided convincing evidence that the…

This study investigates the economic outcomes of education for wage earners in Pakistan. This is done by analysing the relationship between schooling, cognitive skills and ability, on the one hand, and economic activity, occupation, sectoral choice and earnings, on the other. In Pakistan, an important question remains largely unaddressed: what…

The Centre for the Economics of Education was asked to bring together a wide range of academic evidence (primarily England-based) to investigate the extent to which academic and non-academic childhood outcomes are complementary to each other, or are in some way traded-off against each other. The report also investigates the drivers of both…

Attendance in preschool centers can yield short-term benefits for children from poor or middle-class families. Yet debate persists in Europe and the United States over whether centers yield gains of sufficient magnitude to sustain children's cognitive or social advantages as they move through primary school. We report on child care and home…

In this paper we evaluate the labour market value of basic skills in the UK, focusing on the wage and employment returns to having better literacy and numeracy skills. We draw on literacy and numeracy assessments undertaken by all cohort members of the UK 1970 British Cohort Study. The data used are very rich and allow us to account for potential…

Through the 1960s, African-Americans earned much less than whites--even when their cognitive abilities (as measured by test scores) were similar. By the end of the century, however, many believed that employment discrimination had attenuated to such a degree that the gap in labor-market outcomes could be explained almost entirely by differences in…