IDEAS home Printed from https://ideas.repec.org/p/hhs/ifauwp/2013_017.html
   My bibliography  Save this paper

Does more general education reduce the risk of future unemployment? Evidence from labor market experiences during the Great Recession

Author

Listed:
  • Hall, Caroline

    () (IFAU - Institute for Evaluation of Labour Market and Education Policy)

Abstract

This paper investigates whether more general education reduces the risk of future unemployment by examining individuals’ labor market experiences during the “Great Recession” (2008–2010). To estimate the causal impact of differences in educational content, I exploit a reform in Sweden in the 1990s which prolonged vocational programs in upper secondary school and gave them a considerably larger general content. The research design takes advantage of variation across regions and over time in the implementation of a large-scale pilot which preceded the reform. I find no evidence that having attended a longer and more general program reduced the risk of experiencing unemployment during the 2008–2010 recession. Among students with low GPAs from compulsory school, attending a pilot program seems instead to have led to an increased risk of unemployment. This pattern is strongest among male students and the effect is likely to be explained by the increased dropout rate which resulted from the change of the programs.

Suggested Citation

  • Hall, Caroline, 2013. "Does more general education reduce the risk of future unemployment? Evidence from labor market experiences during the Great Recession," Working Paper Series 2013:17, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  • Handle: RePEc:hhs:ifauwp:2013_017
    as

    Download full text from publisher

    File URL: http://www.ifau.se/Upload/pdf/se/2013/wp-2013-17-Does-more-general-education-reduce-the-risk-of-future-unemployment.pdf
    Download Restriction: no

    Other versions of this item:

    References listed on IDEAS

    as
    1. Levine, Phillip B & Zimmerman, David J, 1995. "The Benefit of Additional High-School Math and Science Classes for Young Men and Women," Journal of Business & Economic Statistics, American Statistical Association, vol. 13(2), pages 137-149, April.
    2. Esther Duflo, 2001. "Schooling and Labor Market Consequences of School Construction in Indonesia: Evidence from an Unusual Policy Experiment," American Economic Review, American Economic Association, vol. 91(4), pages 795-813, September.
    3. Eric A. Hanushek & Guido Schwerdt & Ludger Woessmann & Lei Zhang, 2017. "General Education, Vocational Education, and Labor-Market Outcomes over the Lifecycle," Journal of Human Resources, University of Wisconsin Press, vol. 52(1), pages 48-87.
    4. Oosterbeek, Hessel & Webbink, Dinand, 2007. "Wage effects of an extra year of basic vocational education," Economics of Education Review, Elsevier, vol. 26(4), pages 408-419, August.
    5. Kahn, Lisa B., 2010. "The long-term labor market consequences of graduating from college in a bad economy," Labour Economics, Elsevier, vol. 17(2), pages 303-316, April.
    6. Grönqvist, Hans & Hall, Caroline, 2013. "Education policy and early fertility: Lessons from an expansion of upper secondary schooling," Economics of Education Review, Elsevier, vol. 37(C), pages 13-33.
    7. Caroline Hall, 2012. "The Effects of Reducing Tracking in Upper Secondary School: Evidence from a Large-Scale Pilot Scheme," Journal of Human Resources, University of Wisconsin Press, vol. 47(1), pages 237-269.
    8. Joseph G. Altonji, 1995. "The Effects of High School Curriculum on Education and Labor Market Outcomes," Journal of Human Resources, University of Wisconsin Press, vol. 30(3), pages 409-438.
    9. Paul Ryan, 2001. "The School-to-Work Transition: A Cross-National Perspective: Corrigendum," Journal of Economic Literature, American Economic Association, vol. 39(3), pages 767-767, September.
    10. Douglas Staiger & James H. Stock, 1997. "Instrumental Variables Regression with Weak Instruments," Econometrica, Econometric Society, vol. 65(3), pages 557-586, May.
    11. Josef Fersterer & Jörn-Steffen Pischke & Rudolf Winter-Ebmer, 2008. "Returns to Apprenticeship Training in Austria: Evidence from Failed Firms," Scandinavian Journal of Economics, Wiley Blackwell, vol. 110(4), pages 733-753, December.
    12. Kang, Suk & Bishop, John, 1989. "Vocational and academic education in high school: Complements or substitutes?," Economics of Education Review, Elsevier, vol. 8(2), pages 133-148, April.
    13. Stenberg, Anders, 2009. "Upgrading the Low Skilled: Is Public Provision of Formal Education a Sensible Policy?," Working Paper Series 1/2009, Stockholm University, Swedish Institute for Social Research.
    14. Bishop, John H. & Mane, Ferran, 2001. "The impacts of minimum competency exam graduation requirements on high school graduation, college attendance and early labor market success," Labour Economics, Elsevier, vol. 8(2), pages 203-222, May.
    15. Goldin, Claudia, 2001. "The Human-Capital Century And American Leadership: Virtues Of The Past," The Journal of Economic History, Cambridge University Press, vol. 61(02), pages 263-292, June.
    16. Mane, Ferran, 1999. "Trends in the payoff to academic and occupation-specific skills: the short and medium run returns to academic and vocational high school courses for non-college-bound students," Economics of Education Review, Elsevier, vol. 18(4), pages 417-437, October.
    17. Thomas S. Dee & Brian A. Jacob, 2006. "Do High School Exit Exams Influence Educational Attainment or Labor Market Performance?," NBER Working Papers 12199, National Bureau of Economic Research, Inc.
    18. Paul Ryan, 2001. "The School-to-Work Transition: A Cross-National Perspective," Journal of Economic Literature, American Economic Association, vol. 39(1), pages 34-92, March.
    19. Ofer Malamud & Cristian Pop-Eleches, 2010. "General Education versus Vocational Training: Evidence from an Economy in Transition," The Review of Economics and Statistics, MIT Press, vol. 92(1), pages 43-60, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Eric A. Hanushek & Guido Schwerdt & Ludger Woessmann & Lei Zhang, 2017. "General Education, Vocational Education, and Labor-Market Outcomes over the Lifecycle," Journal of Human Resources, University of Wisconsin Press, vol. 52(1), pages 48-87.
    2. Aslund, Olof & Grönqvist, Hans & Hall, Caroline & Vlachos, Jonas, 2015. "Education and Criminal Behavior: Insights from an Expansion of Upper Secondary School," IZA Discussion Papers 9374, Institute for the Study of Labor (IZA).
    3. repec:eee:ecoedu:v:62:y:2018:i:c:p:1-11 is not listed on IDEAS
    4. Zilic, Ivan, 2018. "General versus vocational education: Lessons from a quasi-experiment in Croatia," Economics of Education Review, Elsevier, vol. 62(C), pages 1-11.
    5. Margaret Leighton & Jamin Speer, 2017. "Labor Market Returns to College Major Specificity," Discussion Paper Series, Department of Economics 201709, Department of Economics, University of St. Andrews, revised 21 Dec 2017.

    More about this item

    Keywords

    vocational education; upper secondary school curriculum; unemployment;

    JEL classification:

    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hhs:ifauwp:2013_017. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ali Ghooloo). General contact details of provider: http://edirc.repec.org/data/ifagvse.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.