Retorno da Educação no Brasil

Abstract

This paper studies the rate of return of education in Brazil. The literature usually computes the rate of return of education as the education coefficient in the Mincer equation. Here we compute the internal rate of return to education in Brazil updating Langoni (1974) and Castro (1970). We find that the rate of return of education in Brazil is extremely high. We also apply the internal rate of return methodology to compute the rate of return of pre-school. Surprisingly this return is above 15% per year.