Sholeh A. Maani () (Department of Economics, The University of Auckland)
Abstract
This paper examines the link between parental income during adolescent years and higher education choices of the offspring at age 18. This study is the first to use a recent longitudinal data set from New Zealand (Christchurch Health and Development Surveys, CHDS), in the higher education context. The paper examines the impact of family income and other resources throughout adolescent years on later decisions to participate in higher education and the choice of type of tertiary education at age 18. A binary choice model of participation in education, and a multinomial choice model of the broader set of choices faced at age 18, of employment, university, or polytechnic participation are estimated. Among the features of the study are that it incorporates a number of variables, from birth to age 18, which allow us to control further than most earlier studies for ability heterogeneity, academic performance in secondary school, in addition to parental resources (e.g., childhood IQ, nationally comparable high school academic performance, peer effects, family size and family financial information over time). The results highlight useful features of intergenerational participation in higher education, and the effect of parental income on university education, in particular.
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Publisher Info
Paper provided by Department of Economics, The University of Auckland in its series Working Papers with number
259.
Length: 33 pages Date of creation: Dec 2005 Date of revision:
Dec 2005 Publication status: Published in ResearchSpace@Auckland, 1 Dec 2005, pages 1-33 Handle: RePEc:auc:wpaper:259
Find related papers by JEL classification: I21 - Health, Education, and Welfare - - Education - - - Analysis of Education J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy I30 - Health, Education, and Welfare - - Welfare and Poverty - - - General
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