2018-04-29 13:44:00 Sun ET
technology social safety nets education infrastructure health insurance health care medical care medication vaccine social security pension deposit insurance
World Bank economists George Psacharopoulos and Harry Patrinos investigate 1,120 studies across 139 countries to derive an average annual rate of return on each marginal increase in the basic level of educational attainment. This 8.8% pay premium far exceeds the U.S. stock market return about 5.6%-6% per annum over the past 5 decades. The pay premium excludes social gains such as positive social interactions and low mortality rates in close association with better education. Also, the pay premium is higher for girls and college graduates (in direct comparison to postgraduates). This premium is higher in low-income countries primarily as these countries recruit a smaller share of international citizens with higher education.
In accordance with the law of lower marginal value, this pay premium dwindles for each extra year of educational attainment. Psacharopoulos and Patrinos posit a current race between education and technology. This race suggests that high-tech advances accelerate to favor high-skill workers to the detriment of low-skill workers. The normative implication for public policy is that the government should subsidize college education or even graduate school attendance. This subsidization serves as a worthy socioeconomic investment in human capital.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2018-11-09 11:35:00 Friday ET
The Internet inventor Tim Berners-Lee suggests that several tech titans might need to be split up in response to some recent data breach and privacy concern
2018-12-17 08:43:00 Monday ET
Apple files an appeal to overturn the recent iPhone sales ban in China due to its patent infringement of Qualcomm proprietary technology. This recent ban of
2023-03-28 11:30:00 Tuesday ET
The Federal Reserve System conducts monetary policy decisions, interest rate adjustments, and inter-bank payment operations. Peter Conti-Brown (2017)
2023-02-14 09:31:00 Tuesday ET
Eric Posner and Glen Weyl propose radical reforms to resolve key market design problems for better democracy and globalization. Eric Posner and Glen Weyl
2019-04-15 08:37:00 Monday ET
Chinese Belt-and-Road funds large international infrastructure investment projects primarily in East Asia, Central Asia, North Africa, and Italy. Chinese Be
2018-01-07 09:33:00 Sunday ET
Zuckerberg announces his major changes in Facebook's newsfeed algorithm and user authentication. Facebook now has to change the newsfeed filter to prior