The Effect of College Quality in Participation and Wages in the Formal Job Market in Brazil
Higher Education Quality, Participation and Wages Job Market, Propensity Score Matching.
Estimates of the effect of college quality in future wages are a recurring object of study in labor economics. This master’s dissertation proposes to answer the following question: what is the impact of undergraduate education quality in participation and wages in the formal job market in Brazil. To do so, I use the identified database of ENADE for the 2004-2006 triennium along with the RAIS database for 2010 and 2015. With them, it is possible not only to classify the courses according to the INEP classification, but also have access to several socioeconomic characteristics, hours in the job, occupation and wages. With these main parameters, I utilize the causality identification method of Propensity Score Matching. My initial estimates show that there is a positive effect in future wages in the Brazilian formal job market of those who attend the best rated higher education institutions.