Is there an influence of the university’s ranking on the wages of the newly graduated in Colombia?
Initial approach
In the area of study called Economy of Education, it is predicted, through the concept of signaling, that there is a correlation between the salary earned by a worker and their educational level (Cano, Muñoz and Aristizábal, 2009), since the years of education they are a ‘signal’ of the contractor to predict worker productivity. But, what happens when there are wage differences between two workers with the same educational level who are graduates of different universities? This paper attempts to explore the hypothesis that in Colombia many of the most important firms which are able to offer a comparative high salary and growing opportunities to their employees, choose their workforce not from people who can actually do what it is required, but from candidates that come from prestigious universities. With the objective of regarding evidence in order to test this hypothesis, a Chi-squared test is made to the ranking of the university and the average salary of the corresponding graduate. It was found that there is a relationship between the salary of the graduate and the ranking of the university he/she is graduated from.