The Economic Effect of Gaining a New Qualification Later in Life

by   Finn Lattimore, et al.

Pursuing educational qualifications later in life is an increasingly common phenomenon within OECD countries since technological change and automation continues to drive the evolution of skills needed in many professions. We focus on the causal impacts to economic returns of degrees completed later in life, where motivations and capabilities to acquire additional education may be distinct from education in early years. We find that completing an additional degree leads to more than $3000 (AUD, 2019) extra income per year compared to those who do not complete additional study. For outcomes, treatment and controls we use the extremely rich and nationally representative longitudinal data from the Household Income and Labour Dynamics Australia survey (HILDA). To take full advantage of the complexity and richness of this data we use a Machine Learning (ML) based methodology for causal effect estimation. We are also able to use ML to discover sources of heterogeneity in the effects of gaining additional qualifications. For example, those younger than 45 years of age when obtaining additional qualifications tend to reap more benefits (as much as $50 per week more) than others.


page 1

page 2

page 3

page 4


Flexible machine learning estimation of conditional average treatment effects: a blessing and a curse

Causal inference from observational data requires untestable assumptions...

Lost in Translation: Reimagining the Machine Learning Life Cycle in Education

Machine learning (ML) techniques are increasingly prevalent in education...

Statistical Inference for Heterogeneous Treatment Effects Discovered by Generic Machine Learning in Randomized Experiments

Researchers are increasingly turning to machine learning (ML) algorithms...

Causal Effects in Twin Studies: the Role of Interference

The use of twins designs to address causal questions is becoming increas...

Identify More, Observe Less: Mediation Analysis Synthetic Control

The Synthetic Control Method (SCM) allows estimating the causal effect o...

Personalized Education in the AI Era: What to Expect Next?

The objective of personalized learning is to design an effective knowled...

Please sign up or login with your details

Forgot password? Click here to reset