Rates of return to degrees across British regions

Arbeitspapier

Earlier papers have found considerable heterogeneity in the returns to degrees in relation to subjects of study, degree classification and higher education institution. In this paper we examine heterogeneity of returns across British regions using the Labour Force Survey. We find substantial variations in the financial rewards available to graduates across regions with much higher returns in London and the South East than elsewhere, although adjusting for regional differences in the cost-of-living narrows such differences considerably. Decompositional analysis, after controlling for regional differences in both occupational and industrial structures, suggests that coefficient effects dominate composition effects, consistent with agglomeration effects being important. These results have implications for the recent changes to student funding in England, Scotland and Wales.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: IZA Discussion Papers ; No. 1947

Classification and Topics

• Classification: Wirtschaft ; Economic Education and Teaching of Economics: Undergraduate ; Economic Education and Teaching of Economics: Graduate ; Analysis of Education ; Wage Level and Structure; Wage Differentials
• Subject: education ; degree ; rates of return ; regions

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): O'Leary, Nigel C. ; Sloane, Peter J.
• Event: Veröffentlichung
• (who): Institute for the Study of Labor (IZA)
• (where): Bonn
• (when): 2006

Further information

• Handle: http://hdl.handle.net/10419/33252
• Last update: 10.03.2025, 11:43 AM CET