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The role of the option value of college attendance in college major choice
ARTICLE

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Economics of Education Review Volume 17, Number 1 ISSN 0272-7757 Publisher: Elsevier Ltd

Abstract

In this paper, the analysis of college major choice is extended to include the option value of college attendance represented by the probability of and rewards from graduate school attendance. The results for men indicate that the option value is a significant, positive factor in the choice of liberal arts and science majors and is larger in all majors except computer science/engineering, for those with lower earnings at the undergraduate level. In contrast, while women may receive more after a graduate degree in any major, the option value is only significant in their choice of liberal arts and science majors. [JEL I21, J24]

Citation

Eide, E. & Waehrer, G. The role of the option value of college attendance in college major choice. Economics of Education Review, 17(1), 73-82. Elsevier Ltd. Retrieved December 2, 2020 from .

This record was imported from Economics of Education Review on February 1, 2019. Economics of Education Review is a publication of Elsevier.

Full text is availabe on Science Direct: http://dx.doi.org/10.1016/S0272-7757(97)00004-6