Paper Title
Do Students Reap What They Sow? The Influence of Grades and University Type on Labor Market Success

Abstract
Having a great education is one of the most important attributes a prospective employee can signal to the labor market. However, how effective this signal is to future employers remains under researched area. To delve into this question a sample of human resources managers from the largest companies in Iceland was gathered. A framed field experiment was conducted with human resources managers evaluating one of four resumes. Using a 2 (private school / public school) x 2 (high / low average grade) format to examine whether academic achievement and choice of school influenced employability and salary of the job candidate. Human resource managers did not find a student from a private school more qualified than a student from a public school or more likely to invite him or her for a job interview or hire. However, participants were prepared to offer a student from a state school a 9.8% higher salary. Human resource managers rated an applicant with a high average grade more qualified than an applicant with a low average grade and were more likely to invite him for an interview and hire him. The average grade, however, did not affect their wage offer. Keywords - Education, Employers, Grades, Labor Market.