TY  - RPRT
        AU  - Fersterer, Josef
AU  - Winter-Ebmer, Rudolf
        TI  - Smoking, Discount Rates, and Returns to Education
        PY  - 2000/Mar/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 126
        UR  - https://www.iza.org/publications/dp126
        AB  - Individual time preference determines schooling enrolment. Moreover, smoking behavior in early ages has been shown to be highly related to time preference rates. Accordingly, we use smoking at age 16 as an instrument for schooling in order to cope with ability bias in a returns to education regression. Doing this for Austrian cross-sectional data, we find no evidence of ability bias.
        KW  - discount rates
KW  - Returns to education
KW  - instrumental variables
KW  - ability bias
        ER  -