Estimating Benefits from University Level Diversity
AbstractOne of the continuing areas of controversy surrounding higher education is affirmative action. The Supreme Court has agreed to hear Fisher v. Texas, and their ruling may well influence universities' diversity initiatives, especially if they overturn Grutter and rule that diversity is no longer a “compelling state interest”. But what lies behind a compelling state’s interest? One issue that continues to require more information is estimating and understanding the gains for those attending colleges and universities with greater diversity. Most existing studies are either based on evidence from one institution, which has issues of both selectivity and limited “treatments,” or focus on selective Institutions, which also face issues of selection bias from college choice behaviors. In this research we use Wave 3 off Add Health, collected in 2001-02 of those then attending college. Add Health collected the IPEDS number of each college and matched these to the race/ethnic composition of the student body. We convert these data into an index of diversity and then ask whether attending a college/university with a more diverse student body influences a variety of outcomes at Wave 4 (2008), including years of schooling completed, earnings, family income, composition of friends, and probability of voting. Our results provide evidence of a positive link between attending a college with greater diversity and higher earnings and family income but not with more schooling or the probability of voting.
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Bibliographic InfoPaper provided by Centre for Economic Policy Research, Research School of Economics, Australian National University in its series CEPR Discussion Papers with number 680.
Date of creation: Feb 2013
Date of revision:
Other versions of this item:
- Barbara L. Wolfe & Jason Fletcher, 2013. "Estimating Benefits from University-Level Diversity," NBER Working Papers 18812, National Bureau of Economic Research, Inc.
- I2 - Health, Education, and Welfare - - Education
- I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
- I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
- I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
- I25 - Health, Education, and Welfare - - Education - - - Education and Economic Development
- I28 - Health, Education, and Welfare - - Education - - - Government Policy
- J2 - Labor and Demographic Economics - - Demand and Supply of Labor
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- Loury, Linda Datcher & Garman, David, 1995. "College Selectivity and Earnings," Journal of Labor Economics, University of Chicago Press, vol. 13(2), pages 289-308, April.
- Johanne Boisjoly & Greg J. Duncan & Michael Kremer & Dan M. Levy & Jacque Eccles, 2006. "Empathy or Antipathy? The Impact of Diversity," American Economic Review, American Economic Association, vol. 96(5), pages 1890-1905, December.
- Alesina, Alberto & La Ferrara, Eliana, 2005. "Ethnic Diversity and Economic Performance," Scholarly Articles 4553005, Harvard University Department of Economics.
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