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The Impact of Employment during School on College Student Academic Performance

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Author Info
Jeffrey S. DeSimone

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Abstract

This paper estimates the effect of paid employment on grades of full-time, four-year students from four nationally representative cross sections of the Harvard College Alcohol Study administered during 1993-2001. The relationship could be causal in either direction and is likely contaminated by unobserved heterogeneity. Two-stage GMM regressions instrument for work hours using paternal schooling and being raised Jewish, which are hypothesized to reflect parental preferences towards education manifested in additional student financial support but not influence achievement conditional on maternal schooling, college and class. Extensive empirical testing supports the identifying assumptions of instrument strength and orthogonality. GMM results show that an additional weekly work hour reduces current year GPA by about 0.011 points, roughly five times more than the OLS coefficient but somewhat less than recent estimates. Effects are stable across specifications, time, gender, class and age, but vary by health status, maternal schooling, religious background and especially race/ethnicity.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 14006.

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Date of creation: May 2008
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Handle: RePEc:nbr:nberwo:14006

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Find related papers by JEL classification:
I2 - Health, Education, and Welfare - - Education
J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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  1. Chevalier, Arnaud & Harmon, Colm & O’Sullivan, Vincent & Walker, Ian, 2005. "The Impact of Parental Income and Education on the Schooling of Their Children," IZA Discussion Papers 1496, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  2. Dustmann, C. & Rajah, N. & Soest, A. van, 1996. "Part-time work, school success and school leaving," Discussion Paper 43, Tilburg University, Center for Economic Research. [Downloadable!]
    Other versions:
  3. Philip Oreopoulos & Marianne E. Page, 2006. "The Intergenerational Effects of Compulsory Schooling," Journal of Labor Economics, University of Chicago Press, vol. 24(4), pages 729-760, October.
    Other versions:
  4. Ronald G. Ehrenberg & Daniel R. Sherman, 1987. "Employment While in College, Academic Achievement and Post-College Outcomes: A Summary of Results," NBER Working Papers 1742, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  5. Sandra E. Black & Paul J. Devereux & Kjell G. Salvanes, 2005. "Why the Apple Doesn't Fall Far: Understanding Intergenerational Transmission of Human Capital," American Economic Review, American Economic Association, vol. 95(1), pages 437-449, March. [Downloadable!]
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  6. repec:bep:eaptop:v:6:y:2006:i:1:p:1466-1466 is not listed on IDEAS
  7. Gerald S. Oettinger, 1999. "Does high school employment affect high school academic performance?," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 53(1), pages 136-151, October.
  8. Botticini, Maristella & Eckstein, Zvi, 2005. "Jewish Occupational Selection: Education, Restrictions, or Minorities?," The Journal of Economic History, Cambridge University Press, vol. 65(04), pages 922-948, December. [Downloadable!]
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  9. Maristella Botticini & Zvi Eckstein, 2007. "From Farmers to Merchants, Conversions and Diaspora: Human Capital and Jewish History," Journal of the European Economic Association, MIT Press, vol. 5(5), pages 885-926, 09. [Downloadable!] (restricted)
  10. Anders Björklund & Mikael Lindahl & Erik Plug, 2006. "The Origins of Intergenerational Associations: Lessons from Swedish Adoption Data," The Quarterly Journal of Economics, MIT Press, vol. 121(3), pages 999-1028, 08. [Downloadable!] (restricted)
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  11. 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. [Downloadable!] (restricted)
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  14. Erik Plug, 2004. "Estimating the Effect of Mother's Schooling on Children's Schooling Using a Sample of Adoptees," American Economic Review, American Economic Association, vol. 94(1), pages 358-368, March. [Downloadable!]
  15. Imbens, Guido W & Angrist, Joshua D, 1994. "Identification and Estimation of Local Average Treatment Effects," Econometrica, Econometric Society, vol. 62(2), pages 467-75, March. [Downloadable!] (restricted)
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  16. Donna S. Rothstein, 2007. "High School Employment and Youths' Academic Achievement," Journal of Human Resources, University of Wisconsin Press, vol. 42(1). [Downloadable!] (restricted)
  17. Kalenkoski, Charlene Marie & Sabrina Wulff Pabilonia, 2008. "Parental Transfers, Student Achievement, and the Labor Supply of College Students," Working Papers 416, U.S. Bureau of Labor Statistics. [Downloadable!]
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  18. Zvi Eckstein & Kenneth I. Wolpin, 1999. "Why Youths Drop Out of High School: The Impact of Preferences, Opportunities, and Abilities," Econometrica, Econometric Society, vol. 67(6), pages 1295-1340, November.
  19. Ralph Stinebrickner & Todd R. Stinebrickner, 2003. "Working during School and Academic Performance," Journal of Labor Economics, University of Chicago Press, vol. 21(2), pages 449-472, April. [Downloadable!]
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  20. John H. Tyler, 2003. "Using State Child Labor Laws to Identify the Effect of School-Year Work on High School Achievement," Journal of Labor Economics, University of Chicago Press, vol. 21(2), pages 353-380, April. [Downloadable!]
  21. Ruhm, Christopher J, 1997. "Is High School Employment Consumption or Investment?," Journal of Labor Economics, University of Chicago Press, vol. 15(4), pages 735-76, October. [Downloadable!] (restricted)
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  22. Jere R. Behrman & Mark R. Rosenzweig, 2002. "Does Increasing Women's Schooling Raise the Schooling of the Next Generation?," American Economic Review, American Economic Association, vol. 92(1), pages 323-334, March. [Downloadable!]
  23. Chiswick, Barry R, 1993. "The Skills and Economic Status of American Jewry: Trends over the Last Half-Century," Journal of Labor Economics, University of Chicago Press, vol. 11(1), pages 229-42, January. [Downloadable!] (restricted)
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