Signaling and Employer Learning with Instruments
An American Economic Review study estimating that returns to schooling in its Norwegian setting reflect both productivity and labor-market signaling.
Also known as Aryal Bhuller Lange 2022
The paper estimates private returns to schooling in Norway and decomposes them into a larger productivity component and a smaller signaling component in that setting.
It is useful precisely because it resists two extremes: education is not merely a credential signal, but credentials and employer inference can still matter.