Table 11

Returns to a Higher Track Certificate

	Men GSOEP		MZ		Women GSOEP		MZ
Any higher track certificate	0.21^**	0.19^**	0.25^**	0.20^**	0.24^**	0.24^**	0.26^**	0.17^**
(Standard error)	(0.04)	(0.07)	(0.01)	(0.01)	(0.05)	(0.08)	(0.01)	(0.02)
Highest track schools	—	0.03	—	0.08^**	—	−0.01	—	0.11^**
(Standard error)	—	(0.08)	—	(0.01)	—	(0.09)	—	(0.02)
Age	0.15^*	0.15^*	0.09^**	0.09^**	0.07	0.07	0.03^**	0.03^**
(Standard error)	(0.08)	(0.08)	(0.01)	(0.01)	(0.10)	(0.10)	(0.01)	(0.01)
Age squared	0.00	0.00	0.00^**	0.00^**	0.00	0.00	0.00^**	0.00^**
(Standard error)	(0.00)	(0.00)	(0.00)	(0.00)	(0.00)	(0.00)	(0.00)	(0.00)
Constant	−0.65	−0.65	0.33	0.33	1.07	1.06	1.15^**	1.16^**
(Standard error)	(1.31)	(1.32)	(0.18)	(0.18)	(1.61)	(1.60)	(0.24)	(0.24)
Observations	1,462	1,462	32,507	32,507	1,172	1,172	23,459	23,459
R² (GSOEP)/Pseudo-R² (MZ)	0.13	0.13	0.02	0.02	0.06	0.06	0.01	0.01

Source: German Socio-Economic Panel (GSOEP) and Mikrozensus (MZ) 2004. Authors’ own calculations.
Note: The dependent variable is the natural logarithm of the gross hourly wage rate (GSOEP) or net hourly income (MZ). Only West Germans aged 26 to 40 are included in the sample. Any higher track certificate is a dummy variable that equals one if a person holds a diploma obtained from any type of higher track school. Highest track schools is a dummy variable that equals one if a person holds a higher level certificate allowing unrestricted access to universities. Estimates are obtained using sampling weights and robust standard errors. Because income in the Mikrozensus is given in intervals, we estimate interval regressions (ordered probit with known boundaries) instead of ordinary least squares regressions.
↵* Significant at the 10 percent level.
↵** Significant at the 5 percent level.