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Sunday, February 01, 2004

University and high-school graduate wage differentials diminished

Korea Research Institute for Vocational Education and Training (KRIVET, 한국직업능력개발원) has published a study, which shows that wage (income) difference between university and high-school graduates has diminised remarkably in the last 20 years (reported in Chosun Ilbo). 20 years ago the average income of a university graduate was twice the income of a high-school graduate, but at the moment it's 50% higher. Vocational college (전문대학교) graduate's income used to be 40% higher, but now it's almost on the same level with high-school graduate wages.

The average income by educational levels in 2001: high school graduates 1.24 mil. W, vocational college 1.28 mil W, 4-year university graduate 1.89 mil W.

In the case of gender differentials in wages, among high-school graduates in 1981 men earned 78% more than women, in 1991 65%, and 2001 50% more. Vocational colleges: 48% --> 47% --> 38% between 1981 and 2001. University graduates: 51% ---> 37% --> 36%.

--> More proof of the devaluation of university education; as people are of course aware of this, one cannot expect the vicious educational competition to dwindle. (Developments like this also guarantee that small businesses will continue to be a viable alternative, with the sector continuously reproduced, as uni education doesn't guarantee a [relatively] good income.

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