Education

The economic fruits of patience

Bart Golsteyn, Hans Grönqvist, Lena Lindahl, 19 August 2014

Time preference has substantial economic consequences. To a growing literature that shows patience to be an important indicator of economic outcomes, this column presents new evidence from a large administrative dataset that tracks children into adulthood. Those who reported more patient preferences as children move on to better labour market and health outcomes, and are less likely to become criminals.

The unrecognised benefits of grade inflation

Raphael Boleslavsky, Christopher Cotton, 16 August 2014

Grade inflation is widely viewed as detrimental, compromising the quality of education and reducing the information content of student transcripts for employers. This column argues that there may be benefits to allowing grade inflation when universities’ investment decisions are taken into account. With grade inflation, student transcripts convey less information, so employers rely less on transcripts and more on universities’ reputations. This incentivises universities to make costly investments to improve the quality of their education and the average ability of their graduates.

Knowledge elites, enlightenment, and industrialisation

Nico Voigtländer, Mara Squicciarini, 13 July 2014

Although studies of contemporary economies find robust associations between human capital and growth, past research has found no link between worker skills and the onset of industrialisation. This column resolves the puzzle by focusing on the upper tail of the skill distribution, which is strongly associated with industrial development in 18th-century France.

How history can contribute to better economic education

Coen Teulings, 11 July 2014

The financial crisis and the Great Recession have led to calls for more economic history in economic education. This column argues for a much broader use of history in economics courses, as a device for teaching both the logic and the empirical relevance of economics. A proposed curriculum would include the rise of agriculture, urbanisation, war, the rule of law, and demography.

Trade, regional development, and institutions: Lessons from Brazil

André Carlos Martínez, Aldo Musacchio, Martina Viarengo, 9 July 2014

Institutions are known to play a powerful and enduring role in countries’ divergent levels of economic development. This column presents evidence that institutions matter for within-country inequality, too. In Brazil, changes in export prices and export tax revenues led to an increase in education spending in states that experienced commodity booms, which increased the number of schools and improved educational outcomes such as literacy rates. However, the effect was limited in states where slavery was predominant in colonial times.

Other Recent Articles:

Vox eBooks

Events