Search results

This paper investigates the labor market returns to high school types. We exploit comprehensive administrative data describing the school-to-work transition for the universe of Chilean students attending tenth grade in 2001. We discuss the role of self-selection into school types, pre-labor market abilities, firm characteristics, and present bounds for the parameters of interest. Attending private high schools has long-lasting e ects on earnings. Moreover, the long-term returns to school-level valueadded measures and monetary investments in education are larger among private-school students. Our findings provide new insights into the association of school choice and the inertia of income inequality.

Findings of an association between skin color and educational attainment have been fairly consistent among Americans born before the civil rights era, but little is known regarding the persistence of this relationship in later born cohorts. The authors ask whether the association between skin color and educational attainment has changed between black American baby boomers and millennials. The authors observe a large and statistically significant decline in the association between skin color and educational attainment between baby boomer and millennial black women, whereas the decline in this association between the two cohorts of black men is smaller and nonsignificant. Compared with baby boomers, a greater percentage of the association between skin color and educational attainment among black millennials appears to reflect educational disparities in previous generations. These results emphasize the need to conceptualize colorism as an intersectional problem and suggest caution when generalizing evidence of colorism in earlier cohorts to young adults today.

People rely on their experiences when making important decisions. In making these decisions, individuals may be significantly influenced by the timing of their experiences. Using administrative data, we study whether the order in which students are assigned courses affects the choice of college major. We use a natural experiment at the United States Military Academy in which students are randomly assigned to certain courses either during or after the semester in which they are required to select their college major. We find that when students are assigned to a course in the same semester as they select a major, they are over 100 percent more likely to choose a major that corresponds to that course. Despite low switching costs, approximately half of the effect persists through graduation. Our results demonstrate that the timing of when students are assigned courses has a large and persistent effect on college major choice. We explore several potential mechanisms for these results and find that students’ initial major choice best fits a framework we develop that incorporates salience and availability. Furthermore, our results suggest that once students select a major, they are less likely to switch majors than the standard model of economic choice predicts. Instead, students’ decision to remain in a major is more consistent with status quo bias.

Natasha Cabrera and Elizabeth Karberg, University of Maryland; 2014-012

Women are completing university in greater percentages than men but do not choose high-income fields