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Lawrence Dacuycuy
''Is the earnings-schooling relationship linear? a semiparametric analysis''
( 2005, Vol. 3 No.37 )
Using data from Labor Force Surveys (LFS), this study implements additive models to analyze the impact of schooling on wages. It also uses the Sperlich, Tjostheim and Yang (2002) test to validate the existence of interaction terms. Results confirm that the earnings-schooling relationship exhibits convexity. However, the degree to which the said relationship is convex is materially affected by the presence of the interaction component in the additive wage function.
Keywords: schooling
JEL: C1 - Econometric and Statistical Methods: General
I2 - Education: General
Manuscript Received : Jul 28 2005 Manuscript Accepted : Jul 28 2005

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