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EN
Education is one of the strongest predictors of worldly success, yet economists still cannot agree whether school builds the ability that earns the reward, or mostly signals ability that was already there
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What the data does not settle, and what economists have argued about for fifty years, is why it works.
People with more education earn substantially more.
School builds knowledge and skills that make a person genuinely more productive, and employers pay for that added productivity.
On this view, much of what a degree does is certify qualities the person already had.
It is also worth remembering that education and a degree are not the same word.