Family background and returns to schoolings－Evidence from Taiwanese Household Survey
Date Issued
2007
Date
2007
Author(s)
Li, Yi-Fang
DOI
zh-TW
Abstract
Purpose of the study is to understand if the returns of schooling would be influenced by family background factor. In other words, we would like to know the relationship of the family background and the workers’ wage rates. That is, we consider into several factors such as individual his own attributes, his parents’ level of education, occupations, and his wife’s level of education and occupation, and then we would like to understand if the effects of individual his own attributes on the wage rate would change. The study is based on Mincer’s human capital theory, the model created by Lamand Schoeni in 1993, and Liu, Hamimt and Lin’s study in 1999. After adding family background variables into the consideration, we would like to observe the change of the returns to schooling with different variables and different samples. Besides, the most obvious distinction from other studies in the past is the selection of samples. In addition to adult married male samples, the study also adopts adult unmarried female samples to take a statistical analysis. The unmarried female samples are most characterized by their higher level of education, and have more domination right to income. We also like to know the effects of family background on female worker’s wage rates.
We utilize the original data of Manpower Utilization Survey (MUS) and Panel Study of Family Dynamics (PSFD) to proceed with the Ordinary Least Squares analysis and examine the relationship of family background and worker’s wage rates. In the study, we select the workers aged 20 -65, and restrict our analysis to married male workers living in Taiwan. But in the MUS data base, we also adopt the unmarried female samples.
Findings of the empirical analysis are that married male workers’ wage rates can be explained partly by their level of education. Returns of schooling would be overvalued without considering family background factor, but only wives’ level of education could affect workers’ wage rates. According to the data in the study, we can’t confirm the effects of parents’ attributes on children’s wage rates. Recently the effects of family background factor on children’s wage rates are gradually fading. On the other hand, the empirical conclusion of unmarried female samples is differed from that of married male samples. The study concludes that father’s level of education plays important role on the wage rates of unmarried females. The effects of family background factors on unmarried females are more evident, that is, unmarried women who come from better family have higher wage rates. The reason may be that the ideal strategy of social mobility for women is a pattern based on attainment through marriage, rather than attainment via one’s own education, as for men.
Subjects
家庭背景
教育投資報酬
人力資本
選擇性配對效果
family background
returns of schooling
human capital
assortative mating
social stratification
Type
thesis
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