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Compulsory Schooling and Early Labor Market Outcomes in a Middle-Income Country

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  • Huzeyfe Torun

Abstract

The 1997 reform in Turkey which extended compulsory schooling from 5 to 8 years provides an opportunity to estimate the returns to schooling in a middle-income country. The availability of a rich set of early labor market variables also provides an opportunity to assess mechanisms through which returns to schooling occur. I find quite small effects of compulsory schooling on earnings of men but large positive effects on earnings of women who work, without raising their overall low rate of labor force participation. In terms of mechanisms, I find that women who worked moved into higher skill and formal sector jobs, which involved more complicated tasks on average. I propose that differential marginal costs of schooling explain the low average schooling level among women before the reform and the very different outcomes of the reform for men and women.

Suggested Citation

  • Huzeyfe Torun, 2015. "Compulsory Schooling and Early Labor Market Outcomes in a Middle-Income Country," Working Papers 1534, Research and Monetary Policy Department, Central Bank of the Republic of Turkey.
  • Handle: RePEc:tcb:wpaper:1534
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    References listed on IDEAS

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    1. Murat G. Kırdar & Meltem Dayıoğlu & İsmet Koç, 2018. "The Effects of Compulsory-Schooling Laws on Teenage Marriage and Births in Turkey," Journal of Human Capital, University of Chicago Press, vol. 12(4), pages 640-668.
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    4. Paul J. Devereux & Robert A. Hart, 2010. "Forced to be Rich? Returns to Compulsory Schooling in Britain," Economic Journal, Royal Economic Society, vol. 120(549), pages 1345-1364, December.
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    6. Leyla Mocan, 2014. "The Impact of Education on Wages: Analysis of an Education Reform in Turkey," Koç University-TUSIAD Economic Research Forum Working Papers 1424, Koc University-TUSIAD Economic Research Forum.
    7. Tsai, Wehn-Jyuan & Liu, Jin-Tan & Chou, Shin-Yi & Thornton, Robert, 2009. "Does educational expansion encourage female workforce participation? A study of the 1968 reform in Taiwan," Economics of Education Review, Elsevier, vol. 28(6), pages 750-758, December.
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    11. Aydemir, Abdurrahman & Murat, Kirdar, 2013. "Estimates of the Return to Schooling in a Developing Country: Evidence from a Major Policy Reform in Turkey," MPRA Paper 51938, University Library of Munich, Germany.
    12. Resul Cesur & Naci H. Mocan, 2013. "Does Secular Education Impact Religiosity, Electoral Participation and the Propensity to Vote for Islamic Parties? Evidence from an Education Reform in a Muslim Country," NBER Working Papers 19769, National Bureau of Economic Research, Inc.
    13. Murat G. Kýrdar & Meltem Dayýoðlu & Ýsmet Koç, 2016. "The Effects of Compulsory Schooling Laws on Teenage Marriage and Births in Turkey," Working Papers 2016/01, Bogazici University, Department of Economics.
    14. Bahadir Dursun & Resul Cesur & Inas Rashad Kelly, 2017. "The Value of Mandating Maternal Education in a Developing Country," NBER Working Papers 23492, National Bureau of Economic Research, Inc.
    15. Bahadır Dursun & Resul Cesur, 2016. "Transforming lives: the impact of compulsory schooling on hope and happiness," Journal of Population Economics, Springer;European Society for Population Economics, vol. 29(3), pages 911-956, July.
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    17. Resul Cesur & Bahadir Dursun & Naci Mocan, 2014. "The Impact of Education on Health and Health Behavior in a Middle-Income, Low-Education Country," NBER Working Papers 20764, National Bureau of Economic Research, Inc.
    18. Bilge Erten & Pinar Keskin, 2018. "For Better or for Worse?: Education and the Prevalence of Domestic Violence in Turkey," American Economic Journal: Applied Economics, American Economic Association, vol. 10(1), pages 64-105, January.
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    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Murat G. Kırdar & Meltem Dayıoğlu & İsmet Koç, 2018. "The Effects of Compulsory-Schooling Laws on Teenage Marriage and Births in Turkey," Journal of Human Capital, University of Chicago Press, vol. 12(4), pages 640-668.
    2. Akyol, Pelin & Mocan, Naci, 2020. "Education and Consanguineous Marriage," IZA Discussion Papers 13985, Institute of Labor Economics (IZA).
    3. Bahadir Dursun & Resul Cesur & Inas Rashad Kelly, 2017. "The Value of Mandating Maternal Education in a Developing Country," NBER Working Papers 23492, National Bureau of Economic Research, Inc.
    4. Abdurrahman B. Aydemir & Murat Güray Kırdar & Huzeyfe Torun, 2019. "The Effect of Education on Geographic Mobility: Incidence, Timing, and Type of Migration," CReAM Discussion Paper Series 1914, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
    5. Dursun, Bahadır & Cesur, Resul & Mocan, Naci, 2018. "The Impact of Education on Health Outcomes and Behaviors in a Middle-Income, Low-Education Country," Economics & Human Biology, Elsevier, vol. 31(C), pages 94-114.
    6. Murat G. Kýrdar & Meltem Dayýoðlu & Ýsmet Koç, 2016. "The Effects of Compulsory Schooling Laws on Teenage Marriage and Births in Turkey," Working Papers 2016/01, Bogazici University, Department of Economics.
    7. Patrinos, Harry A. & Psacharopoulos, George & Tansel, Aysit, 2019. "Returns to Investment in Education: The Case of Turkey," IZA Discussion Papers 12238, Institute of Labor Economics (IZA).
    8. Huzeyfe Torun & Semih Tumen, 2017. "The empirical content of season-of-birth effects: An investigation with Turkish data," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 37(57), pages 1825-1860.
    9. Huzeyfe Torun & Semih Tumen, 2019. "Do vocational high school graduates have better employment outcomes than general high school graduates?," International Journal of Manpower, Emerald Group Publishing, vol. 40(8), pages 1364-1388, November.
    10. Z. Eylem Gevrek & Pinar Kunt & Heinrich W. Ursprung, 2021. "Education, political discontent, and emigration intentions: evidence from a natural experiment in Turkey," Public Choice, Springer, vol. 186(3), pages 563-585, March.
    11. Harry Anthony Patrinos & George Psacharopoulos & Aysit Tansel, 2019. "Returns to Investment in Education: The Case of Turkey," Koç University-TUSIAD Economic Research Forum Working Papers 1906, Koc University-TUSIAD Economic Research Forum.
    12. Harry Anthony Patrinos & George Psacharopoulos & Aysit Tansel, 2019. "GLOBALISATION AND GOVERNANCE: Returns to Investment in Education: The Case of Turkey," ERC Working Papers 1903, ERC - Economic Research Center, Middle East Technical University, revised Mar 2019.
    13. Ozturk, Ahmet & Tumen, Semih, 2018. "Education and Labor Market Consequences of Student Protests in Late 1970s and the Subsequent Military Coup in Turkey," IZA Discussion Papers 11733, Institute of Labor Economics (IZA).
    14. Akar, Betul & Akyol, Pelin & Okten, Cagla, 2019. "Education and Prosocial Behavior: Evidence from Time Use Survey," IZA Discussion Papers 12558, Institute of Labor Economics (IZA).

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    More about this item

    Keywords

    Returns to education; Compulsory schooling; Occupational choice;
    All these keywords.

    JEL classification:

    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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