Motivated by the large differences in labor market outcomes across college majors, we
survey the literature on the demand for and return to high school and postsecondary
education by field of study. We combine elements from several papers to provide a dynamic
model of education and occupation choice that stresses the roles of the specificity of human
capital and uncertainty about preferences, ability, education outcomes, and labor market
returns. The model implies an important distinction between the ex ante and ex post returns …