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Occupational credentials provide an additional—and, at times, alternative—path other than traditional academic degrees for individuals to increase productivity and demonstrate their abilities and qualifications to employers. These credentials take the form of licenses and certifications. Although a critical part of the workforce landscape, the literature on the returns to credentials is inadequate, with prior research having limited causal identification, typically relying on OLS regressions which do not sufficiently control for selection. Using questions that identify credential receipt from the 2015 and 2016 Current Population Surveys, we construct an instrumental variable of local peer influence using the within-labor market credential rate of individuals sharing the same sociodemographic characteristics, while controlling for the same group’s average wages and a suite of demographic and geographic controls. We use this instrument in a marginal treatment effects estimator, which allows for estimation of the average treatment effect and determines the direction of selection, and we estimate the effects of credentials on labor market outcomes. We find large, meaningful returns in the form of increased employment, an effect which is concentrated primarily among women. The effect of having a credential on log wages is higher for those in the sub-baccalaureate labor market, suggesting the potential role of occupational credentials as an alternative path to marketable human capital and a signal of skills in the absence of a bachelor’s degree.
We explore the role of defaults and choice architecture on student loan decision-making, experimentally testing the impact pre-populating either decline or accept decisions compared to an active choice, no pre-population, decision. We demonstrate that the default choice presented does influence student loan borrowing decisions. Specifically, compared to active choice, students presented within a pre-populated decline decision were almost five percent less likely to accept all packaged loans and borrowed between 4.6 and 4.8 percent less in federal educational loans. The reductions in borrowing appears to be concentrated within unsubsidized loans with those assigned to the opt-in condition borrowing 8.3 percent less in unsubsidized loans. These changes in borrowing did not induce substitution towards private or Parent PLUS loans nor did they negatively impact enrollment, academic performance, or on-campus work outcomes in the same academic year.
The segregation of students by socioeconomic status has been on the rise in American public education between schools during the past several decades. Recent work has demonstrated that segregation is also increasing within schools at the classroom level. In this paper, we contribute to our understanding of the determinants of this increase in socioeconomic segregation within schools. We assess whether growth in the presence and number of nearby charter schools have affected the segregation of socioeconomically disadvantaged students by classroom in traditional public schools (TPS). Using data from North Carolina, we estimate a series of models exploit variation in the number and location of charter schools over time between 2007 and 2014 to estimate the impact of charter school penetration and proximity on levels of within school segregation in TPS classrooms serving grades 3-8. We find that socioeconomic segregation in math and English language arts increase in grades 3-6 when additional charter schools open within large urban districts. We find the largest impacts on schools that are closest to the new charter schools. We estimate that the impact of charter schools can account for almost half of the overall growth in socioeconomic segregation we see over the course of the panel within grades 3-6 in large urban districts.
Mixed evidence on the relationship between school closure and COVID-19 prevalence could reflect focus on large-scale levels of geography, limited ability to address endogeneity, and demographic variation. Using county-level CDC COVID-19 data through June 15, 2020, two matching strategies address potential heterogeneity: nearest geographic neighbor and propensity scores. Within nearest neighboring pairs in different states with different school closure timing, each additional day from a county’s first case until state-ordered school closure is related to 1.5%-2.4% higher cumulative COVID-19 deaths per capita (1,227-1,972 deaths for a county with median population and deaths/capita). Results are consistent using propensity score matching, COVID-19 data from two alternative sources, and additional sensitivity analyses. School closure is more strongly related to COVID-19 deaths in counties with a high concentration of Black or poor residents, suggesting schools play an unequal role in transmission and earlier school closure is related to fewer lives lost in disadvantaged counties.
The decades-long resistance to federally imposed school desegregation entered a new phase at the turn of the new century, when federal courts stopped pushing racial balance as a remedy for past segregation, adopting in its place a color-blind approach in judging local school districts’ assignment plans. Using data that span 1998 to 2016 from North Carolina, one of the first states to come under this color-blind dictum, we examine the ways in which households and policymakers took actions that had the effect of reducing the amount of interracial contact in K-12 schools within counties. We divide these reductions in interracial contact into portions due to the private school and charter school sectors, the existence of multiple school districts, and racial disparities between schools within districts and sectors. For most counties, the last of these proves to be the biggest, though in some counties private schools, charter schools, or multiple districts played a deciding role. In addition, we decompose segregation in the state’s 13 metropolitan areas, finding that more than half can be attributed to racial disparities inside school districts. We also measure segregation by economic status, finding that it, like racial segregation, increased in the largest urban counties, but elsewhere changed little over the period.
Employers may favor applicants who played college sports if athletics participation contributes to leadership, conscientiousness, discipline, and other traits that are desirable for labor-market productivity. We conduct a resume audit to estimate the causal effect of listing collegiate athletics on employer callbacks and test for subgroup effects by ethnicity, gender, and sport type. We applied to more than 450 jobs on a large, well-known job board. For each job listing we submitted two fictitious resumes, one of which was randomly assigned to include collegiate varsity athletics. Overall, listing a college sport does not produce a statistically significant change in the likelihood of receiving a callback or interview request. However, among non-white applicants, athletes are 3.2 percentage points less likely to receive an interview request (p = .04) relative to non-athletes. We find no statistically significant differences among males or females.
A growing body of research and popular reporting shows racial differences in school modality choices during the COVID-19 crisis, with white students more likely to attend school in person. This in-person learning gap raises serious equity concerns. We use unique panel survey data to explore possible explanations. We find that a combination of factors may explain these differences. School districts’ offerings, political partisanship, and local COVID-19 outbreaks are all meaningfully associated with and plausibly explain the in-person learning racial gap. As schools start offering more in-person learning, significant efforts may be necessary to ensure that families and students attend those in-person learning opportunities.
This paper considers an unavoidable feature of the school environment, class rank. What are the long-run effects of a student’s ordinal rank in elementary school? Using administrative data on all public-school students in Texas, we show that students with a higher third-grade academic rank, conditional on achievement and classroom fixed effects, have higher subsequent test scores, are more likely to take AP classes, graduate from high school, enroll in and graduate from college, and ultimately have higher earnings 19 years later. We also discuss the necessary assumptions for the identification of rank effects and propose new solutions to identification challenges. The paper concludes by exploring the tradeoff between higher quality schools and higher rank in the presence of these rank-based peer effects.
Past research extensively documents inequalities in educational opportunity and achievement by students’ race/ethnicity or socioeconomic status (SES). Less scholarship focuses on how race/ethnicity and SES interact and jointly contribute to educational inequalities. We advance this burgeoning line of scholarship by charting math achievement trajectories and school socioeconomic composition by both student race/ethnicity and SES in California from 2014-15 through 2017-18. Linked administrative data allow us to operationalize student SES more richly than point-in-time free meal eligibility, a measure commonly used in education research. We find evidence of considerable racial/ethnic disparities in math achievement and school socioeconomic composition among same-SES students. White and Asian students score substantially higher on math achievement tests and attend higher-SES schools than same-SES Hispanic and Black students. Achievement and contextual inequalities are related: differential exposure to school SES by student race/ethnicity is associated with within-SES racial/ethnic achievement disparities. Our findings show that SES does not translate into the same contextual or achievement advantages for students of all racial/ethnic groups, demonstrating the importance of jointly considering student race/ethnicity and SES in future research and policy development.
COVID-19 has created acute challenges for the child care sector, potentially leading to a shortage of supply and a shrinking sector as the economy recovers. This study provides the first comprehensive, census-level evaluation of the medium-term impacts of COVID-19 on the county child care market in a large and diverse state, North Carolina. We also document the disproportionate impacts of COVID-19 on different types of providers and disadvantaged communities. We use data from two time points (February and December) from 2018 to 2020 and a difference-in-differences design to isolate the effects of COVID-19. We find that COVID- 19 reduced county-level child care enrollment by 40%, and reduced the number of providers by 2%. Heterogeneity analyses reveal that family child care providers experienced not only less severe reductions in enrollment and closures than center providers, but a small growth in the number of family providers. Declines in enrollment were most substantial for preschool-aged children. COVID-19 did not appear to further exacerbate inequities in terms of enrollment amongst low-income communities, communities with a larger share of Black residents, or rural communities, although communities with a larger share of Hispanic residents had more provider closures. Our findings underscore the importance of family child care providers in the child care sector and providing continuing and targeted support to help the sector through this crisis. Implications for future policies are discussed.