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Human Capital Versus Market Signaling Theory: The Case with Adult Literacy

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  • Human Capital Versus Market Signaling Theory: The Case with Adult Literacy

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    Human Capital Versus Market Signaling Theory: The Case with Adult Literacy

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Abstract

Human capital and market signaling theory are compared using data from the Statistics Canada Survey of Literacy Skills Used in Daily Activities (1990). The results indicate that both theories explain variations in annual income and number of weeks worked. Employers use education credentials (market signaling theory) to select employees who are then rewarded with earnings based on their literacy levels (human capital theory). Implications of these findings for policy and practice are presented.

How to Cite:

Blunt, A., (1998) “Human Capital Versus Market Signaling Theory: The Case with Adult Literacy”, Adult Education Research Conference 1(1998).

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Published on
1998-05-29