'Time series' rates of returns to education in Malaysia

Abstract

Over the last ten years at least five empirical studies in the human capital traditionl have been conducted for Malaysia. Of the five only three have estimates of the rates of return by educational levels. These studies are of unequal quality in terms of data coverage and analysis but, to the extent that they are comparable, they may provide some insight into the recent trends in the returns to education. This is the principal purpose of this paper. Befo re this, a brief statement on two main methods of estimating the rate of return t o investment in education which are sufficient for the purpose of this paper.