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The Returns to Third Level Education

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Economic Insights on Higher Education Policy in Ireland

Abstract

Estimates of the private returns to education largely ignore the interaction of increasing gross earnings and the tax/benefit system, as well as the impact extra education may have on labour market outcomes and other non-labour incomes. Estimates of the public and non-pecuniary returns to education are also rare. In this context, this chapter presents estimates of the net private, public and non-pecuniary returns to third level education in Ireland for the year 2014. It finds significant positive returns to both the individual and the state from investing in third level education. It also finds tentative evidence that individuals with a third level education report higher measures of happiness and health compared to those with lower levels of education, controlling for income and other factors.

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Author information

Authors and Affiliations

  1. Department of Economics, University of Limerick, Limerick, Ireland

    Darragh Flannery

  2. College of Arts, National University of Ireland, Galway, Galway, Ireland

    Cathal O’Donoghue

Authors
  1. Darragh Flannery
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  2. Cathal O’Donoghue
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Editor information

Editors and Affiliations

  1. National University of Ireland, Galway, Ireland

    John Cullinan

  2. University of Limerick, Limerick, Ireland

    Darragh Flannery

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Flannery, D., O’Donoghue, C. (2017). The Returns to Third Level Education. In: Cullinan, J., Flannery, D. (eds) Economic Insights on Higher Education Policy in Ireland. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-48553-9_9

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  • DOI: https://doi.org/10.1007/978-3-319-48553-9_9

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  • Publisher Name: Palgrave Macmillan, Cham

  • Print ISBN: 978-3-319-48552-2

  • Online ISBN: 978-3-319-48553-9

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