Religion and the rate of return to human capital: Evidence from Australia

Abstract

We estimated the relationship between religion and the rate of return to human capital for Australia. Data from the Household Income Labour Dynamics Survey were analysed for men aged between 25 and 54 years. Conventional human capital functions were estimated using Ordinary Least Squares (OLS). Our results suggest that Catholic men benefit from a wage premium of 6.7%, controlling for an extensive range of controls. © 2012 Taylor & Francis.