TY  - RPRT
        AU  - Atal, Vidya
AU  - Basu, Kaushik
AU  - Gray, John
AU  - Lee, Travis
        TI  - Literacy Traps: Society-wide Education and Individual Skill Premia
        PY  - 2009/Feb/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 4047
        UR  - https://www.iza.org/index.php/publications/dp4047
        AB  - Using a model of O-ring production function, the paper demonstrates how certain communities can get caught in a low-literacy trap in which each individual finds it not worthwhile investing in higher skills because others are not high-skilled. The model sheds light on educational policy. It is shown that policy for promoting human capital has to take the form of a mechanism for solving the coordination failure in people’s choice of educational strategy.
        KW  - O-ring
KW  - literacy
KW  - education
KW  - skill formation
KW  - traps
        ER  -