We develop a model where blacks in the private sector earn no returns to education if there are relatively too few educated blacks. Using a sample of black females in the late apartheid Kwa Zulu to control for labour market specific effects, we find that more than a fifth of labour market participants are self-employed. There are no returns to primary education and positive returns for the first two years of secondary education.
Reference:
Fryer, D., Vencatachellum, D. 2003-05. Returns to Education in South Africa: Evidence from the Machibisa Township. Development and Poverty Research Unit Working Paper Development Policy Research Unit Working Paper 03/076. Development Policy Research Unit.
Fryer, D., & Vencatachellum, D. (2003). Returns to Education in South Africa: Evidence from the Machibisa Township (Development and Poverty Research Unit Working Paper Development Policy Research Unit Working Paper 03/076). Development Policy Research Unit ,Faculty of Commerce ,Development Policy Research Unit (DPRU). Retrieved from http://hdl.handle.net/11427/7389
Fryer, David, and Desire Vencatachellum Returns to Education in South Africa: Evidence from the Machibisa Township. Development and Poverty Research Unit Working Paper Development Policy Research Unit Working Paper 03/076. Development Policy Research Unit ,Faculty of Commerce ,Development Policy Research Unit (DPRU), 2003. http://hdl.handle.net/11427/7389
Fryer D, Vencatachellum D. Returns to Education in South Africa: Evidence from the Machibisa Township. 2003 [cited yyyy month dd]. Available from: http://hdl.handle.net/11427/7389