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Purpose

The purpose of this paper is to discuss sheepskin effects in Colombia based on repeated cross‐section or pseudo panel data using cohorts in seven larges cities in Colombia.

Design/methodology/approach

A Pseudo Panel Data methodology is used as the basis for determining and testing sheepskin effects using labor market microdata in Colombia in the time period from 1996 to 2000.

Findings

Empirical evidence suggests that there are additional salary increases of 14 percent for individuals who hold a secondary degree and approximately 26 percent for holders of university degrees in Colombia.

Originality/value

Testing sheepskin effects based on pseudo panel data using cohorts.

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