Effect of Education on Wage Earning
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The scope of this project includes individuals aged 18-65 who finished their education and do not have significant disadvantages in seeking employment selected from a survey of Georgia residents regarding wage income, education, and other factors. By obtaining estimates of the multiple linear regression coefficients of education, experience, hours worked per week on education, sex, marital status, and employment type, a ceteris paribus effect of educational level on wage income of individuals. It was found that keeping other variables, increasing 1 year of education increases individual income by nearly $8000 per year. This figure can be important in policy making in terms of the revenue effect of increasing funding for education to boost educational level and in individual decisions by providing quantitative indicators of the tradeoffs of furthering education.