may raise productivity by directly teaching job skills, but character
formation, acculturation, etc. also count.
includes not just pre-existing intelligence, but pre-existing character,
Pure Ability Bias
is observationally equivalent to a Pure Consumption model of education.
educational signaling can consist in (a) learning and retaining useless material, (b) learning
but not retaining material regardless of usefulness, (c) simply wasting time in ways that less productive workers find relatively painful, leading to a positive correlation between education and productivity.
Human Capital, 1/3 Pure Ability Bias, 1/3 Pure Signaling
starting position for agnostics.
Human Capital, .5 Pure Ability Bias, .4 Pure Signaling
preferred point estimates.I know they're
extreme, but my book will explain my reasons and try to win you over.
Bonus: From now on, I will link to this table whenever conflation of human capital, ability bias, and signaling becomes an issue.