Parental Job Loss, Income Shocks and the Education Enrolment of Youth
AbstractParental job loss from layoffs and business failures that occur when youth complete high school completion are found to be negatively correlated with enrolment at university and community college. Estimates from a year-to-year education transition model using longitudinal data on youth and their parents are employed to identify both immediate and lagged effects of parental job loss on education transitions. It is argued that these results can be interpreted as evidence of a potential causal effect of parental income on youth education attainment, as job losses are likely to have persistent and exogenous negative effects on parental income.
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Bibliographic InfoPaper provided by The University of Melbourne in its series Department of Economics - Working Papers Series with number 1060.
Length: 40 pages
Date of creation: 2009
Date of revision:
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Postal: Department of Economics, The University of Melbourne, 5th Floor, Economics and Commerce Building, Victoria, 3010, Australia
Phone: +61 3 8344 5289
Fax: +61 3 8344 6899
Web page: http://www.economics.unimelb.edu.au
More information through EDIRC
Education; human capital; job loss; income shocks; causal effect;
Find related papers by JEL classification:
- I29 - Health, Education, and Welfare - - Education - - - Other
- J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
- I39 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Other
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-01-10 (All new papers)
- NEP-EDU-2010-01-10 (Education)
- NEP-HRM-2010-01-10 (Human Capital & Human Resource Management)
- NEP-LAB-2010-01-10 (Labour Economics)
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