Economists Alan Krueger and Stacy Dale found that earnings of university graduates were mostly unrelated to the toughness of their universities' admissions standards.Which theory will help explain this

Question

Quizplus · Accepted Answer

The theory of signalling suggests that employers use education as a signal of an individual's productivity and ability to learn, rather than focusing on the specific knowledge or skills gained from attending a particular university or college. In this case, the admissions standards of the university would not necessarily be an indicator of an individual's productivity or ability to learn, and therefore, would not have a significant impact on their earnings.

Economists Alan Krueger and Stacy Dale Found That Earnings of University