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A Note on School Quality, Educational Attainment and the Wage Gap

  • Srikanth RamamurthyEmail author
  • Norman Sedgley
Article
  • 1 Downloads

Abstract

This paper explores the linkage between school quality, educational attainment and the wage gap. In a model of statistical discrimination based on both the quality and quantity of schooling, we show that lower-quality education can, on average, lead to lower human capital accumulation if agents anticipate future labor market discrimination. Because blacks in general have less access to good-quality schools compared to whites, this link provides a novel explanation for the differences in black–white educational attainment and the resulting wage gap.

Keywords

Wage gap Statistical discrimination School quality Human capital choice 

JEL Classification

J24 J71 

Notes

References

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Copyright information

© EEA 2019

Authors and Affiliations

  1. 1.Sellinger School of BusinessLoyola University MarylandBaltimoreUSA

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