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Is Little Brother Nothing but Trouble?: Educational Attainment, Returns to Schooling and Sibling Structure

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  • Sari Pekkala

Abstract

Family effects on an individual's labor market success have been studied by economists and sociologists. The consensus is that background matters to educational and labor market performance, but it is not clear how and why. I look at indicators of family background and sibling structure, analyzing their effect on educational attainment and earnings. Parental income, schooling and other characteristics are amongst the main determinants of schooling. Also, sibling structure and density affect education, but have no effect on earnings. Sibling density and sex composition are tested as instruments for schooling. With the IV-strategy, estimated return to schooling decreases from 9 to 7 percent for men, but increases to 11-14 percent for women.

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Bibliographic Info

Paper provided by Government Institute for Economic Research Finland (VATT) in its series Discussion Papers with number 302.

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Date of creation: 15 Apr 2003
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Handle: RePEc:fer:dpaper:302

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Keywords: Family; siblings; education; earnings;

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  1. Orley Ashenfelter & David Zimmerman, 1993. "Estimates of the Return to Schooling From Sibling Data: Fathers, Sons and Brothers," Working Papers 697, Princeton University, Department of Economics, Industrial Relations Section..
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  3. Griliches, Zvi, 1979. "Sibling Models and Data in Economics: Beginnings of a Survey," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages S37-64, October.
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  5. Daron Acemoglu & Jorn-Steffen Pischke, 2000. "Changes in the Wage Structure, Family Income, and Children's Education," NBER Working Papers 7986, National Bureau of Economic Research, Inc.
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  7. Card, David, 2001. "Estimating the Return to Schooling: Progress on Some Persistent Econometric Problems," Econometrica, Econometric Society, vol. 69(5), pages 1127-60, September.
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  10. Lam, David & Schoeni, Robert F, 1993. "Effects of Family Background on Earnings and Returns to Schooling: Evidence from Brazil," Journal of Political Economy, University of Chicago Press, vol. 101(4), pages 710-40, August.
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  13. Behrman, Jere R & Pollak, Robert A & Taubman, Paul, 1982. "Parental Preferences and Provision for Progeny," Journal of Political Economy, University of Chicago Press, vol. 90(1), pages 52-73, February.
  14. Butcher, Kristin F & Case, Anne, 1994. "The Effect of Sibling Sex Composition on Women's Education and Earnings," The Quarterly Journal of Economics, MIT Press, vol. 109(3), pages 531-63, August.
  15. Robert Kaestner, 1996. "Are Brothers Really Better? Sibling Sex Composition and Educational Achievement Revisited," NBER Working Papers 5521, National Bureau of Economic Research, Inc.
  16. Karsten Albaek & Rita Asplund & Erling Barth & Stig Blomskog & Bjorn Runar Gudmundsson & Vifill Karlsson & Erik Strojer Madsen, 2000. "Dimensions of the Wage-Unemployment Relationship in the Nordic Countries: Wage Flexibility Without Wage Curves," Econometric Society World Congress 2000 Contributed Papers 1893, Econometric Society.
  17. Robert M. Hauser & Hsiang-Hui Daphne Kuo, 1998. "Does the Gender Composition of Sibships Affect Women's Educational Attainment?," Journal of Human Resources, University of Wisconsin Press, vol. 33(3), pages 644-657.
  18. Welch, Finis, 1975. "Human Capital Theory: Education, Discrimination, and Life Cycles," American Economic Review, American Economic Association, vol. 65(2), pages 63-73, May.
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  21. Becker, Gary S & Tomes, Nigel, 1976. "Child Endowments and the Quantity and Quality of Children," Journal of Political Economy, University of Chicago Press, vol. 84(4), pages S143-62, August.
  22. Rosenzweig, Mark R, 1986. "Birth Spacing and Sibling Inequality: Asymmetric Information within the Family," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 27(1), pages 55-76, February.
  23. Robert Haveman & Barbara Wolfe, 1995. "The Determinants of Children's Attainments: A Review of Methods and Findings," Journal of Economic Literature, American Economic Association, vol. 33(4), pages 1829-1878, December.
  24. Griliches, Zvi, 1977. "Estimating the Returns to Schooling: Some Econometric Problems," Econometrica, Econometric Society, vol. 45(1), pages 1-22, January.
  25. Leibowitz, Arleen, 1974. "Education and Home Production," American Economic Review, American Economic Association, vol. 64(2), pages 243-50, May.
  26. Behrman, Jere & Tarbman, Paul, 1985. "Intergenerational Earnings Mobility in the United States: Some Estimates and a Test of Becker's Intergenerational Endowments Model," The Review of Economics and Statistics, MIT Press, vol. 67(1), pages 144-51, February.
  27. Behrman, Jere R & Pollak, Robert A & Taubman, Paul, 1986. "Do Parents Favor Boys?," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 27(1), pages 33-54, February.
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