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The Intergenerational Effects of Compulsory Schooling

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  • Ann Huff Stevens
  • Marianne Page
  • Philip Oreopoulos

    (Department of Economics, University of California Davis)

Abstract

The strong correlation between parents’ economic status and that of their children has been well-documented, but little is known about the extent to which this is a causal phenomenon. This paper attempts to improve our understanding of the causal processes that contribute to intergenerational immobility by exploiting historical changes in compulsory schooling laws that affected the educational attainment of parents without affecting their innate abilities or endowments. We examine the influence of parental compulsory schooling on children’s gradefor- age using the 1960, 1970 and 1980 U.S. Censuses. Our estimates indicate that a one-year increase in the education of either parent reduces the probability that a child repeats a grade by between two to four percentage points. Among 15 to 16 year olds living at home, we also estimate that parental compulsory schooling significantly lowers the likelihood of dropping out. These findings suggest that education policies may be able to reduce part of the intergenerational transmission of inequality.

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Bibliographic Info

Paper provided by University of California, Davis, Department of Economics in its series Working Papers with number 519.

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Length: 43
Date of creation: 01 Aug 2005
Date of revision:
Handle: RePEc:cda:wpaper:05-19

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Keywords: Compulsory Schooling;

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References

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  1. Arnaud Chevalier, 2004. "Parental Education and Childs Education: A Natural Experiment," CEE Discussion Papers, Centre for the Economics of Education, LSE 0040, Centre for the Economics of Education, LSE.
  2. Black, Sandra E. & Devereux, Paul J. & Salvanes, Kjell G., 2003. "Why the Apple Doesn't Fall Far: Understanding Intergenerational Transmission of Human Capital," IZA Discussion Papers 926, Institute for the Study of Labor (IZA).
  3. Ann Huff Stevens & Marianne Page & Philip Oreopoulos, 2005. "The Intergenerational Effects of Compulsory Schooling," Working Papers, University of California, Davis, Department of Economics 519, University of California, Davis, Department of Economics.
  4. Lance Lochner & Enrico Moretti, 2004. "The Effect of Education on Crime: Evidence from Prison Inmates, Arrests, and Self-Reports," American Economic Review, American Economic Association, vol. 94(1), pages 155-189, March.
  5. Sandra E. Black & Paul J. Devereaux & Kjell Salvanes, 2004. "Fast Times at Ridgemont High? The Effect of Compulsory Schooling Laws on Teenage Births," NBER Working Papers 10911, National Bureau of Economic Research, Inc.
  6. Justin McCrary & Heather Royer, 2011. "The Effect of Female Education on Fertility and Infant Health: Evidence from School Entry Policies Using Exact Date of Birth," American Economic Review, American Economic Association, vol. 101(1), pages 158-95, February.
  7. Hoyt Bleakley & Aimee Chin, 2008. "What Holds Back the Second Generation?: The Intergenerational Transmission of Language Human Capital Among Immigrants," Journal of Human Resources, University of Wisconsin Press, vol. 43(2), pages 267-298.
  8. Björklund, Anders & Eriksson, Tor & Jäntti, Markus & Raaum, Oddbjørn & Österbacka, Eva, 2000. "Brother Correlations in Earnings in Denmark, Finland, Norway and Sweden Compared to the United States," IZA Discussion Papers 158, Institute for the Study of Labor (IZA).
  9. Janet Currie & Mark Stabile, 2004. "Child Mental Health and Human Capital Accumulation: The Case of ADHD," NBER Working Papers 10435, National Bureau of Economic Research, Inc.
  10. John Bound & David A. Jaeger, 1996. "On the Validity of Season of Birth as an Instrument in Wage Equations: A Comment on Angrist & Krueger's "Does Compulsory School Attendance Affect Scho," NBER Working Papers 5835, National Bureau of Economic Research, Inc.
  11. Harmon, Colm & Walker, Ian, 1995. "Estimates of the Economic Return to Schooling for the United Kingdom," American Economic Review, American Economic Association, vol. 85(5), pages 1278-86, December.
  12. Aigner, Dennis J., 1973. "Regression with a binary independent variable subject to errors of observation," Journal of Econometrics, Elsevier, Elsevier, vol. 1(1), pages 49-59, March.
  13. Mark R. Rosenzweig & Kenneth I. Wolpin, 1994. "Are There Increasing Returns to the Intergenerational Production of Human Capital? Maternal Schooling and Child Intellectual Achievement," Journal of Human Resources, University of Wisconsin Press, vol. 29(2), pages 670-693.
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