Workers’ levels of education and private returns to investment in education in Nigeria
Loading...
Date
2013
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Abstract
The study investigated private returns to investment in education by
workers’ level of education in Nigeria, using the descriptive survey
research design. Data were collected using the 2005 Labour Market
Survey of the National Manpower Board covering 18,793 Nigerian
workers: 5,937 with no formal education; 4,910 with primary school
certificate; 4,873 with secondary school certificate; and 3,073 with first
degree. Level of education was grouped into three levels of education
which are primary school, secondary school, and university. Data were
analysed using descriptive statistics and One-way Analysis of Variance
(ANOVA), using the 0.05 level of significance for decision making.
Scheffe Post hoc analysis was used to test for differences among the
levels of education. Earning equations explained 82.9% of the variations
in log earnings for all workers, implying that the higher the level of
education of workers within the same sector, the higher the earnings.
The differences between level of education account for 3.4% of the
variation in private returns. On the basis of findings of this study, it is
recommended that earnings of workers in Nigeria should be increased
in order to make investment in education an attractive option. Also,
policy makers should also formulate policies and craft incentives that
will promote investment in education.
Description
Keywords
Level of education, Earning Differentials, Investment in Education, Private Returns, Nigerian workers