Abstract
We examine whether there is a wage premium from attending an AACSB accredited business college compared to a non-accredited business college. To estimate the returns to AACSB accreditation, we use data from the 1993/1994 Baccalaureate and Beyond Longitudinal Study, which provides a rich set of control variables. The earnings regressions suggest that there is no wage premium associated with graduating from an AACSB accredited business college upon entry into the workforce.
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Notes
Business School Data Trends and 2010 List of Accredited Schools (2010), available at: http://www.aacsb.edu/publications/businesseducation/2010-Data-Trends.pdf
Source: AACSB International available at: http://www.aacsb.edu/accreditation/promotion/ValueOfAccreditation.asp
Access to the data required obtaining a restricted data license from the NCES.
NCES requires that all sample size numbers are rounded to the nearest 10.
Information on AACSB status was obtained from AACSB and 1993–94 Accredited Institutions of Postsecondary Education (1994).
There were 250 accounting majors, 10 business/management systems majors, 110 finance majors, 820 management/business administration majors, and 100 marketing/distribution majors.
Engineering includes chemical, civil, mechanical, architectural, and engineering technology. Education includes early childhood, elementary, secondary, special, physical, and other. Communication/journalism includes journalism, communications, and communication technology. Computer science includes computer programming and computer and information sciences. Humanities includes American civilization, area studies, African-American studies, ethnic studies, Spanish, foreign languages, English, writing, liberal studies, philosophy, religious studies, history, design, speech, film arts, music, art history, and performing arts. Health includes dental health, mental health, allied health, audiology, clinical sciences, medicine, hospital administration, public health, health sciences, and dietetics. Social sciences include paralegal, psychology, public administration, anthropology, archaeology, geography, sociology, political science, international relations, and city planning. Mathematics includes statistics, mathematics, chemistry, earth science, physics, and physical sciences. Social work includes clinical pastoral care, protective services, and social work. Biology includes zoology, botany, biochemistry, biological sciences, biopsychology, environmental studies, and general science.
The effect of a dummy variable on wages is 100[exp(coef.) -1].
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Bastin, H., Kalist, D.E. The Labor Market Returns to AACSB Accreditation. J Labor Res 34, 170–179 (2013). https://doi.org/10.1007/s12122-012-9155-8
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DOI: https://doi.org/10.1007/s12122-012-9155-8