Behind the Veil of Origin: Revisiting the Impacts of the French Headscarf Ban in Schools

This paper examines the impact of prohibiting the Islamic veil in schools on economic outcomes and long-run integration of Muslim women. Using a difference-in-differences design, I show that the 1994 directive instructing school principals to ban the veil in French schools led to a substantial decline in educational attainment among affected cohorts, with persistent consequences for employment and marriage market outcomes. An analysis of mechanisms suggests that these effects stem primarily from heightened perceptions of discrimination and mistrust toward the French school system, rather than shifts in parental educational investments. I also show that misclassification of religion in prior work introduces substantial bias. Despite the adverse economic consequences, the affected cohorts exhibit stronger identification with France but also higher levels of religiosity, suggesting a mixed long-run impact on cultural assimilation