Prestige Matters: Wage Premium and Value Addition in Elite Colleges

A-Tier
Journal: American Economic Journal: Applied Economics
Year: 2020
Volume: 12
Issue: 3
Pages: 207-25

Score contribution per author:

4.022 = (α=2.01 / 1 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper provides evidence that graduates of elite public institutions in India have an earnings advantage in the labor market even though attending these colleges has no discernible effect on academic outcomes. Admission to the elite public colleges is based on the scores obtained in the Senior Secondary School Examinations. I exploit this feature in a regression discontinuity design. Using administrative data on admission and college test scores and an in-depth survey, I find that the salaries of elite public college graduates are higher at the admission cutoff although the exit test scores are no different.

Technical Details

RePEc Handle
repec:aea:aejapp:v:12:y:2020:i:3:p:207-25
Journal Field
General
Author Count
1
Added to Database
2026-01-29