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Race and College Success: Evidence from Missouri

Conditional on enrollment, African American entrants at 4-year public universities are much less likely to graduate, and graduate in STEM fields, than white entrants. Using administrative micro data from Missouri, we show that the success gaps between African-American and white students in college can be explained by three factors: (1) racial differences in how students sort to universities and majors, (2) racial differences in high-school quality prior to entry, and (3) racial differences in other observed pre-entry skills. We decompose the success gaps between African Americans and whites to identify the relative importance of these three factors. Even holding racial differences in high-school quality and pre-entry skills fixed, we find that a non-negligible fraction of the racial gap in graduation rates can be explained by differences in student sorting across universities and majors (10 to 20 percent). Differences in observed measures of pre-entry skills – primarily students’ high-school class rankings conditional on high school of attendance – are consistently the most important determinants of the success gaps by race. Differences in pre-entry skills explain a larger share of the graduation gap for men than for women, and most of the racial gaps in STEM attainment (conditional on STEM entry) for both genders

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File URL: http://economics.missouri.edu/working-papers/2012/WP1212_koedel.pdf
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Paper provided by Department of Economics, University of Missouri in its series Working Papers with number 1212.

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Length: 48 pgs.
Date of creation: 25 Sep 2012
Date of revision: 15 Jul 2013
Handle: RePEc:umc:wpaper:1212
Contact details of provider: Postal: 118 Professional Building, Columbia, MO 65211
Phone: (573) 882-0063
Fax: (573) 882-2697
Web page: http://economics.missouri.edu/
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  1. Peter Arcidiacono & Esteban Aucejo & V. Joseph Hotz, 2013. "University differences in the graduation of minorities in STEM fields: evidence from California," LSE Research Online Documents on Economics 51564, London School of Economics and Political Science, LSE Library.
  2. Cory Koedel, 2008. "An Empirical Analysis of Teacher Spillover Effects in Secondary School," Working Papers 0808, Department of Economics, University of Missouri.
  3. John DiNardo & Nicole M. Fortin & Thomas Lemieux, 1995. "Labor Market Institutions and the Distribution of Wages, 1973-1992: A Semiparametric Approach," NBER Working Papers 5093, National Bureau of Economic Research, Inc.
  4. Dan A. Black & Jeffrey A. Smith, 2006. "Estimating the Returns to College Quality with Multiple Proxies for Quality," Journal of Labor Economics, University of Chicago Press, vol. 24(3), pages 701-728, July.
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  6. Audrey Light & Wayne Strayer, 2000. "Determinants of College Completion: School Quality or Student Ability?," Journal of Human Resources, University of Wisconsin Press, vol. 35(2), pages 299-332.
  7. Derek A. Neal & William R. Johnson, 1995. "The Role of Pre-Market Factors in Black-White Wage Differences," NBER Working Papers 5124, National Bureau of Economic Research, Inc.
  8. Peter Arcidiacono & Esteban Aucejo & Ken Spenner, 2012. "What happens after enrollment? An analysis of the time path of racial differences in GPA and major choice," IZA Journal of Labor Economics, Springer, vol. 1(1), pages 1-24, December.
  9. Arcidiacono, Peter & Aucejo, Esteban & Coate, Patrick & Hotz, V. Joseph, 2012. "Affirmative Action and University Fit: Evidence from Proposition 209," IZA Discussion Papers 7000, Institute for the Study of Labor (IZA).
  10. Loury, Linda Datcher & Garman, David, 1995. "College Selectivity and Earnings," Journal of Labor Economics, University of Chicago Press, vol. 13(2), pages 289-308, April.
  11. Daniel Aaronson & Lisa Barrow & William Sander, 2002. "Teachers and student achievement in the Chicago public high schools," Working Paper Series WP-02-28, Federal Reserve Bank of Chicago.
  12. Cory Koedel, 2010. "Grading Standards in Education Departments at Universities," Working Papers 1002, Department of Economics, University of Missouri, revised 13 Jun 2011.
  13. Arcidiacono, Peter & Khan, Shakeeb & Vigdor, Jacob L., 2011. "Representation versus assimilation: How do preferences in college admissions affect social interactions?," Journal of Public Economics, Elsevier, vol. 95(1), pages 1-15.
  14. David Card & Alan B. Krueger, 2004. "Would the Elimination of Affirmative Action Affect Highly Qualified Minority Applicants? Evidence from California and Texas," NBER Working Papers 10366, National Bureau of Economic Research, Inc.
  15. Peter Arcidiacono & Cory Koedel, 2014. "Race and College Success: Evidence from Missouri," American Economic Journal: Applied Economics, American Economic Association, vol. 6(3), pages 20-57, July.
  16. Peter Arcidiacono, 2005. "Affirmative Action in Higher Education: How Do Admission and Financial Aid Rules Affect Future Earnings?," Econometrica, Econometric Society, vol. 73(5), pages 1477-1524, 09.
  17. Long, M.C.Mark C., 2004. "College applications and the effect of affirmative action," Journal of Econometrics, Elsevier, vol. 121(1-2), pages 319-342.
  18. Peter Arcidiacono & Esteban Aucejo & V. Joseph Hotz, 2013. "University Differences in the Graduation of Minorities in STEM Fields: Evidence from California," CEP Discussion Papers dp1223, Centre for Economic Performance, LSE.
  19. Caroline M. Hoxby & Christopher Avery, 2012. "The Missing "One-Offs": The Hidden Supply of High-Achieving, Low Income Students," NBER Working Papers 18586, National Bureau of Economic Research, Inc.
  20. Sarah Cohodes & Joshua Goodman, . "Merit Aid, College Quality and College Completion: Massachusetts' Adams Scholarship as an In-Kind Subsidy," Working Paper 144201, Harvard University OpenScholar.
  21. Rothstein, J.M.Jesse M., 2004. "College performance predictions and the SAT," Journal of Econometrics, Elsevier, vol. 121(1-2), pages 297-317.
  22. Peter Arcidiacono & Patrick Bayer & Aurel Hizmo, 2008. "Beyond Signaling and Human Capital: Education and the Revelation of Ability," NBER Working Papers 13951, National Bureau of Economic Research, Inc.
  23. Eleanor Wiske Dillon & Jeffrey Andrew Smith, 2013. "The Determinants of Mismatch Between Students and Colleges," NBER Working Papers 19286, National Bureau of Economic Research, Inc.
  24. Steven G. Rivkin, 1995. "Black/White Differences in Schooling and Employment," Journal of Human Resources, University of Wisconsin Press, vol. 30(4), pages 826-852.
  25. Mark C. Long, 2004. "Race and College Admissions: An Alternative to Affirmative Action?," The Review of Economics and Statistics, MIT Press, vol. 86(4), pages 1020-1033, November.
  26. Jessica S. Howell, 2010. "Assessing the Impact of Eliminating Affirmative Action in Higher Education," Journal of Labor Economics, University of Chicago Press, vol. 28(1), pages 113-166, 01.
  27. Audrey Light & Wayne Strayer, 2002. "From Bakke To Hopwood: Does Race Affect College Attendance And Completion?," The Review of Economics and Statistics, MIT Press, vol. 84(1), pages 34-44, February.
  28. John Bound & Michael Lovenheim & Sarah Turner, 2009. "Why Have College Completion Rates Declined? An Analysis of Changing Student Preparation and Collegiate Resources," NBER Working Papers 15566, National Bureau of Economic Research, Inc.
  29. Stephen V. Cameron & James J. Heckman, 2001. "The Dynamics of Educational Attainment for Black, Hispanic, and White Males," Journal of Political Economy, University of Chicago Press, vol. 109(3), pages 455-499, June.
  30. Sarah E. Turner & William G. Bowen, 1999. "Choice of major: The changing (unchanging) gender gap," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 52(2), pages 289-313, January.
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