This work was commissioned by the Department for International Development (DfID) as part of a larger project to improve information for policy development.  The study used a variety of data sources.  Data from a nationally-representative sample survey (the household panel survey called Living in BiH) was used to estimate earnings functions and, hence, private rates of return for various types of education.  Data on experience of and attitudes to education and training was also collected in four case study areas to explore behaviour of young people, employers and the unemployed in the context of the observed rates of return.  We led the design and analysis of this survey.

Our work included:

• Analysis of data
  
• Drafting of report
  
• Liaison with Data User Groups

The study concluded that secondary education should be restructured by reducing capacity in vocational schools and increasing capacity in general secondary schools.  This was because people with a general secondary school education were able to earn more than those completing their education in vocational schools and these higher earnings were reflected in the increased demand for general secondary education.  In addition, the curriculum of vocational schools should be restructured in order to include more of the general communications skills valued by employers.  Higher education was shown to be a good investment for individuals in BiH.  However, there is evidence that those participating in higher education were more likely to come from families with higher incomes, thus increasing the transmission of inequality across generations.