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THE NUS MBA: Academic Year 2013 – 2014

If the second term dominates, i.e., individuals who receive low wage draws predict relatively low foregone earnings in the next period, then ∂Φ/∂ ik−1 There is a positive and significant return to math ability but no return to verbal ability. 29 For males, one standard deviation increase in math ability, 8.66 points, yields an 8% increase in wages.