Educational expansion and earnings in Greece

In this article, we document the changing profile of educational attainment of the population and the labor force in Greece and examine the extent to which educational expansion has led to wage compression in the economy. We also present estimates of rates of return to investment in different levels of schooling using data from a variety of data sets from 1960 to 1987. Contrasting these with data on the demand for higher education in Greece, we attempt to provide an explanation of the apparent puzzle of a strong demand for higher education coinciding with low private returns. (DIPF/Text übernommen).