Arbeitspapier

Do literacy and numeracy pay off? On the relationship between basic skills and earnings

Is there a reward for basic skills in the German labor market? To answer this question, we examine the relationship between literacy, numeracy and monthly gross earnings of full-time employed workers. We use data from the ALWA survey, augmented by test scores on basic cognitive skills as well as administrative earnings data. Our results indicate that earnings are positively related to both types of skills. There furthermore is no evidence for non-linearity in this relationship and only little heterogeneity when differentiating by sub-groups.

ISBN
978-3-943153-00-2
Language
Englisch

Bibliographic citation
Series: BERG Working Paper Series ; No. 86

Classification
Wirtschaft
Analysis of Education
Wage Level and Structure; Wage Differentials
Subject
literacy
numeracy
earnings
administrative data
Germany
ALWA

Event
Geistige Schöpfung
(who)
Antoni, Manfred
Heineck, Guido
Event
Veröffentlichung
(who)
Bamberg University, Bamberg Economic Research Group (BERG)
(where)
Bamberg
(when)
2012

Handle
Last update
10.03.2025, 11:44 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Antoni, Manfred
  • Heineck, Guido
  • Bamberg University, Bamberg Economic Research Group (BERG)

Time of origin

  • 2012

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