The role of improved schooling, a central part of most development strategies, has become controversial because expansion of school attainment has not guaranteed improved economic conditions. This paper reviews the role of education in promoting economic wellbeing, with a particular focus on the role of educational quality. It concludes that there is strong evidence that the cognitive skills of...

Human development and economic development are intrinsically linked. Guided by human capital theory, economists are increasingly recognizing the importance of a range of other skills – in addition to intelligence and technical skills – for economic success. Until fairly recently, years of education completed, literacy, numeracy and IQ – often used as proxies for cognitive ability – were the mai...

Politicians typically focus on short-term economic issues; but, a nation’s long-term economic well-being is directly linked to its rate of economic growth. In turn, its growth rate is directly linked to the economically relevant skills of its population. Until recently, however, economists have found it hard to confirm this through empirical analysis because of difficulties in measuring the ski...

The formation of human capital is important for a society's welfare and economic success. Recent literature shows that child health can provide an important explanation for disparities in children’s human capital development across different socio-economic groups. While this literature focuses on cognitive skills as determinants of human capital, it neglects non-cognitive skills. We analyze dat...

The formation of human capital is important for a society's welfare and economic success. Recent literature shows that child health can provide an important explanation for disparities in children’s human capital development across different socio-economic groups. While this literature focuses on cognitive skills as determinants of human capital, it neglects non-cognitive skills. We analyze dat...

This paper analyzes the career progression of skilled and unskilled workers, with a focus on how careers are affected by economic downturns, and whether formal skills, acquired early on, are able to shield workers from the effect of recessions. We estimate a dynamic life-cycle model of education choice, labor supply and wage progression using detailed administrative data for Germany for numerou...

When describing the determinants of economic or social outcomes, economists often focus on cognitive skill. Failure to take into account other dimensions of skill may misguide policy design. In this paper, we analyse the consequences and determinants of cognitive and non-cognitive (social) skills at age 7, using data for Great Britain from the National Child Development Study. We find that an o...