Which of the Following Statements Is TRUE

question 8

Multiple Choice

Which of the following statements is TRUE?

• A) Evidence suggests that schooling raises earnings only by raising productivity.
• B) Sheepskin effects are consistent with signaling.
• C) The sheepskin effect refers to evidence that students with a four-year college degree earn no more than students with four years of college but no degree.
• D) The effects of signaling are the smallest for recent graduates who are just starting to work.

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