Replication data for: Knowledge Capital and Aggregate Income Differences: Development Accounting for US States

Jens Ruhose, Ludger Woessmann & Eric A. Hanushek
Improvement in human capital is often presumed to be important for state economic development, but little research links better education to state incomes. We develop detailed measures of worker skills in each state that incorporate cognitive skills from state- and country-of-origin achievement tests. These new measures of knowledge capital permit development accounting analyses calibrated with standard production parameters. Differences in knowledge capital account for 20-30 percent of the state variation in per capita GDP, with...
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