Template-Type: ReDIF-Paper 1.0 Author-Name: Li Dai Author-X-Name-First: Li Author-X-Name-Last: Dai Author-Email: li.dai@qmul.ac.uk Author-Workplace-Name: School of Business and Management, Queen Mary University of London. Author-Name: Pedro S. Martins Author-X-Name-First: Pedro S. Author-X-Name-Last: Martins Author-Email: p.martins@qmul.ac.uk Author-Workplace-Name: School of Business and Management, Queen Mary University of London. Title: Does vocational education pay off in China? Instrumental-variable quantile-regression evidence Abstract: As China's economy evolves, vocational education may become more important.In this paper, we study the returns to secondary vocational education in China and their differences along the wage distribution. We also use instrumental variables, based on geographical and longitudinal changes in academic and vocational enrolment opportunities, to address the selection between the two types of education. We find that vocational education provides a wage premium vis-a-vis academic education of over 30% but only for individuals at the middle of the conditional wage distribution. Length: 45 pages Creation-Date: 2020-04 Revision-Date: Publication-Status: Classification-JEL: I26, I25, J24, J31, C36 Keywords: return to education, vocational education, instrumental variables, quantile treatment effects. File-URL: http://cgr.sbm.qmul.ac.uk/CGRWP100.pdf Number: 100 Handle: RePEc:cgs:wpaper:100