Arbeitspapier

The Effect of Education on Poverty: A European Perspective

This paper provides evidence on the causal relationship between education and poverty. I construct a novel database comprising compulsory schooling reforms in 32 European countries and use them as instruments for education. I find economically large poverty-reducing effects of education among people aged 30 to 80. This holds true for both objective measures of poverty (relative income poverty, lack of basic necessities, weak labor market attachment) and a subjective measure of poverty (self-assessed difficulties in making ends meet). An additional year of education thus reduces not only the likelihood of being classified as living in poverty but also the likelihood of considering oneself to live in poverty. Increases in labor force participation and full-time employment as well as better health are potential mechanisms behind these results.

Sprache
Englisch

Erschienen in
Series: Working Paper ; No. 2019:9

Klassifikation
Wirtschaft
Education and Inequality
Returns to Education
Measurement and Analysis of Poverty
Thema
poverty
education
compulsory schooling
social exclusion

Ereignis
Geistige Schöpfung
(wer)
Hofmarcher, Thomas
Ereignis
Veröffentlichung
(wer)
Lund University, School of Economics and Management, Department of Economics
(wo)
Lund
(wann)
2019

Handle
Letzte Aktualisierung
10.03.2025, 11:41 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Hofmarcher, Thomas
  • Lund University, School of Economics and Management, Department of Economics

Entstanden

  • 2019

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