College, cognitive ability, and socioeconomic disadvantage: policy lessons from the UK in 1960-2004 by Andrea Ichino

Join us for the latest Applied Economics Research Seminar Series event, Autumn Term 2024.

Andrea Ichino, from the European University Institute in Fiesole, will present this week's seminar on College, cognitive ability, and socioeconomic disadvantage: policy lessons from the UK in 1960-2004.

Abstract

University access has significantly expanded in OECD countries over recent decades and further growth figures prominently in political agendas. This paper studies possible consequences of historical and future expansions in a stochastic, general equilibrium Roy model where tertiary educational attainment is determined by cognitive ability and socioeconomic disadvantage. In our analysis, individual productivity depends not only on education but also directly on cognitive ability. The expansion of university access in the UK, which started in the 1960s, provides an ideal case study to draw lessons for the future. We find that this expansion led to the selection into college of progressively less talented students from advantaged backgrounds and to a flat college wage premium over time, despite education-biased technological change. The implemented policy failed to reach existing high-ability, disadvantaged students, while counterfactual meritocratic policies would have achieved that goal.

The seminar will begin with a presentation and will end with a Q and A session.

It will be held in the Economics Common Room at 2pm on Thursday, 21 November. This event is open to all levels of study and is also open to the public. To register your place and gain access to the webinar, please contact the seminar organisers.

This event is part of the Applied Economics Research Seminar Series.