@TechReport{iza:izadps:dp2407,
            	author={Klein, Roger and Vella, Francis},
            	title={Estimating the Return to Endogenous Schooling Decisions for Australian Workers via Conditional Second Moments},
            	year={2006},
	month={Oct},
            	institution={Institute of Labor Economics (IZA)},
            	address={Bonn},
            	type={IZA Discussion Paper},
            	number={2407},
            	url={https://www.iza.org/publications/dp2407},
	abstract={This paper employs conditional second moments to identify the impact of education in wage regressions where education is treated as endogenous. This approach avoids the use of instrumental variables in a setting where instruments are frequently not available. We employ this methodology to estimate the returns to schooling for a sample of Australian workers. We find that accounting for the endogeneity of education in this manner increases the estimated return to education from 6 percent to 10 percent.},
	keywords={endogeneity;returns to schooling;heteroskedasticity},
            }