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The Park Place Economist

Authors

Dan Scholz '96

Abstract

There have been numerous studies to show that students in engineering, and scientifically oriented fields typically have higher average earnings than students in broader studies l i e the humanities and English (Altonji, 1993; Angle and Wissrnann, 1981; Berger, 1988 "cohort"; Reed and Miller, 1970). The question arises as to why there is a diierence. While there are probably many different factors for the wage differentials, risk must be considered one of those factors. If diierent risks are associated with different majors, it would certainly be feasible that wage differentials would arise.

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