Does school time matter?—On the impact of compulsory education age on school dropout

A straightforward way to prevent students from leaving education without a higher secondary diploma is increasing the compulsory education age. The idea is that, by staying longer in school, more students eventually obtain a higher secondary diploma. This paper examines the impact of a one-year increase in compulsory school-age on dropping out of secondary education by a difference-in-differences analysis. For this, we exploit a recent compulsory education policy reform in the Netherlands. After controlling for confounding factors and observable covariates, we find that the one year increase in compulsory school-age reduces dropout by 2.5 percentage points. The effect, however, is entirely situated in the group non-liable to the policy reform. We observe that native Dutch vocational students, mostly without retention in grade, but also without a higher secondary diploma at hand, more often left school in the immediate period before the policy reform. Given the economic revival at that time, this may reflect anticipation of labor market opportunities.     

The impact of education on health knowledge

The theory on the demand for health suggests that schooling causes health because schooling increases the efficiency of health production. Alternatively, the allocative efficiency hypothesis argues that schooling alters the input mix chosen to produce health. This suggests that the more educated have more knowledge about the health production function and they have more health knowledge. This paper uses data from the 1997 and 2002 waves of the NLSY97 to conduct an investigation of the allocative efficiency hypothesis by analyzing whether education improves health knowledge. The survey design allows us to observe the increase in health knowledge of young adults after their level of schooling is increased by differential and plausibly exogenous amounts. Using nine different questions measuring health knowledge, we find weak evidence that an increase in education generates an improvement in health knowledge for those who ultimately attend college. For those with high school as the terminal degree, no relationship is found between education and health knowledge. These results imply that the allocative efficiency hypothesis may not be the primary reason for why schooling impacts health outcomes.     

The effects of quarter of birth on academic outcomes at the elementary school level

This paper uses public schools data to examine the effects of age on student academic achievement in light of recent trends to delay children's entry into kindergarten. To avoid problems of endogeneity, students’ quarters of birth is employed as an instrument for age at entry. In particular, the effects of students’ quarters of birth on math and reading standardized test scores and grade retention at the elementary school level are estimated. Evidence of benefits to being among the oldest in one's age-grade cohort is found. Interestingly, over time, the youngest students begin to perform approximately on par with the oldest students, creating a u-shaped pattern to the data.     

School quality, child wellbeing and parents’ satisfaction

Child wellbeing at school and enjoyment of the learning environment are important economic outcomes, in particular because a growing body of research shows they are strongly linked to later educational attainments and labour market success. However, the standard working assumption in the economics of education is that parents choose schools on the basis of test-score performance, and concerns about child happiness are largely ignored. In this paper, we address this omission and investigate to what extent parents’ and children's views of their school are linked to test-score based performance, and to what extent parents’ judgements of school quality are linked to their child's happiness. To do so, we use information on stated attitudes from the Longitudinal Survey of Young People in England (LSYPE) matched to administrative records on pupil achievements in England. Our results suggest that test-score based measures of school quality tend to dominate parental satisfaction with the learning environment. However, school quality along this dimension is not strongly associated with pupil happiness and wellbeing at school.     

Which children benefit from non-parental care?

This paper investigates the relationship between non-parental care and toddlers’ behavioral outcomes using data from Australia. In particular, we explore heterogeneity in the relationship using the unique data on quality attributes: carer/child ratio, share of qualified staff, and expert ratings. The results suggest that full-time non-parental care, particularly center care, is negatively associated with toddlers’ behavioral outcomes. The negative association is however mitigated when centers have a larger number of carers per child. The negative association between non-parental care and behavioral outcomes also appears to be larger for children with better-educated parents.     

Valuing the benefits of the education provided by public universities: A case study of Minnesota

This study estimates the value of the private and public benefits that accrue to Minnesota residents from state government subsidies to higher education. In 2005, the University of Minnesota and the Minnesota State Colleges and Universities system received $832 million from Minnesota's state government to support educational programs. These subsidies allow these institutions to offer lower tuition rates, increasing the number of Minnesotans with bachelor and graduate degrees. We calculate that removing these subsidies would eventually lead to 14,000 fewer graduate degree holders in Minnesota, and reduce those with bachelor's degrees or “some college” by 42,000. The annual economic cost of these subsidies is about $326 million; this is less than annual state appropriations because most of those appropriations are income transfers from taxpayers to students, not an economic cost. We estimate that the annual value of the benefits of these subsidies is between $531 and $786 million ($381 and $570 million) when a 3% (5%) discount rate is used. We also discuss some of the income distribution consequences.     

Is traditional teaching really all that bad? A within-student between-subject approach

Recent studies conclude that teachers are important for student learning but it remains uncertain what actually determines effective teaching. This study directly peers into the black box of educational production by investigating the relationship between lecture style teaching and student achievement. Based on matched student-teacher data for the US, the estimation strategy exploits between-subject variation to control for unobserved student traits. Results indicate that traditional lecture style teaching is associated with significantly higher student achievement. No support for detrimental effects of lecture style teaching can be found even when evaluating possible selection biases due to unobservable teacher characteristics.     

Immigration and student achievement: Evidence from Switzerland

This paper investigates empirically whether immigrant students in Switzerland perform poorly compared to their native counterparts and provides some explanations. Using a national sample of the 2000 PISA (Programme for International Student Assessment) database, we first analyze the impact of immigrant status on pupils’ achievement. We find a negative and significant impact of immigrant status on test scores in reading, mathematics and science literacy, even after controlling for a set of characteristics. We then decompose the observed reading score gap between Swiss and immigrant students to identify whether gaps in endowments explain test score differences along the distribution. Lower endowments explain most of the achievement gap in reading between Swiss and second-generation immigrants. However, lower returns explain around one quarter of the achievement gap between Swiss and first-generation immigrants for the weakest pupils.