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Testing the Internal Validity of Compulsory School Reforms as Instrument for Years of Schooling

Author

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  • Brunello, Giorgio

    () (University of Padova)

  • Fort, Margherita

    () (University of Bologna)

  • Weber, Guglielmo

    () (University of Padova)

  • Weiss, Christoph T.

    () (European Investment Bank)

Abstract

In the large empirical literature that investigates the causal effects of education on outcomes such as health, wages and crime, it is customary to measure education with years of schooling, and to identify these effects using the exogenous variation provided by school reforms increasing compulsory education and minimum school leaving age. If these reforms are correlated to changes in school quality, and school quality is an omitted variable, this identification strategy may fail. We test whether this is the case by using the information provided by two distinct test scores on mathematics and reading and find that we cannot reject the internal validity of this popular identification strategy.

Suggested Citation

  • Brunello, Giorgio & Fort, Margherita & Weber, Guglielmo & Weiss, Christoph T., 2013. "Testing the Internal Validity of Compulsory School Reforms as Instrument for Years of Schooling," IZA Discussion Papers 7533, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp7533
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    References listed on IDEAS

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    Cited by:

    1. d׳Hombres, Béatrice & Nunziata, Luca, 2016. "Wish you were here? Quasi-experimental evidence on the effect of education on self-reported attitude toward immigrants," European Economic Review, Elsevier, vol. 90(C), pages 201-224.
    2. Bolzern, Benjamin & Huber, Martin, 2017. "Testing the validity of the compulsory schooling law instrument," Economics Letters, Elsevier, vol. 159(C), pages 23-27.
    3. Weiss, Christoph T., 2015. "Education and regional mobility in Europe," Economics of Education Review, Elsevier, vol. 49(C), pages 129-141.

    More about this item

    Keywords

    human capital; instrumental variables; nested models;

    JEL classification:

    • C26 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Instrumental Variables (IV) Estimation
    • I2 - Health, Education, and Welfare - - Education

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