https://dx.doi.org/10.1007/s12122-017-9245-8">
Institute on Disability
 

Title

The Distribution of Returns to Education for People with Disabilities

Abstract

This article takes a first look at the distribution of returns to education for people with disabilities, a particularly disadvantaged group whose labor market performances have not been well studied or documented. Using a nonparametric approach, we uncover significant heterogeneity in the returns to education for these workers, which is drastically masked by conventional parametric methods. Based on these estimates, we construct the Sharpe ratio of human capital investment (taking into account its substantial risk), and our results corroborate the claimed importance of human capital in improving these workers’ wages. Our stochastic dominance tests show that the returns to education for workers with disabilities, as a group, may have been affected more adversely in the most recent recession, relative to their non-disabled counterparts.

Publication Date

9-1-2017

Journal Title

Journal of Labor Research

Publisher

Springer

Digital Object Identifier (DOI)

https://dx.doi.org/10.1007/s12122-017-9245-8

Document Type

Article

Rights

© Springer Science+Business Media New York 2017

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