Three Essays on Higher Education and Inequality

Three Essays on Higher Education and Inequality
Author: Noah Hirschl
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Total Pages: 0
Release: 2023
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This dissertation consists of three studies that shed light on the ongoing transformation of higher education's role in producing inequality and transmitting advantages across generations in the United States. The first chapter examines the most educated Americans: graduate and professional degree holders. The subsequent two chapters, by contrast, shift focus to young adults' transition into higher education, examining how schools and local labor markets shape racial inequality in the transition from high school to college.The first empirical chapter examines horizontal stratification among graduate and professional degree programs and their connection to the new economic elite. Compared to the baccalaureate level, there has been relatively little empirical research on distinctions among graduate and professional degrees and how they relate to labor market inequality. I add to this emerging literature with 30 years of linked survey data containing an unprecedented level of detail on the lives of the most educated Americans. I track recent historical changes in who attains top-ranked MBAs, JDs, MDs, and PhDs, finding a marked increase in the influence of parental education on elite degree attainment. This novel evidence suggests the solidifying of an intergenerational class of highly educated professionals in the United States. Second, I explore the earnings returns to program rank across different degree types, and by gender and parental education, with a particular focus on the top percentile of the earnings distribution. Unlike at the baccalaureate level, the earnings returns to prestige vary significantly across fields, such that they are much higher in MBA and JD programs than research doctorate or medical programs. I also find that the earnings returns to prestige are higher for children from less-educated families, suggesting a potential equalizing effect of elite postbaccalaureate programs. The second empirical chapter examines how local labor markets shape college attendance behavior differently by race and gender. A long-standing sociological literature has established that white students are substantially less likely to attend four-year colleges than are Black students with similar socioeconomic resources and academic performance. Drawing on accounts of racial labor market segregation among workers without bachelor's degrees, I hypothesize that racialized and gendered access to good sub-baccalaureate jobs-for instance, jobs in the trades-may account for racial differences in college attendance. I test this hypothesis empirically using administrative data on students attending high school in Wisconsin, examining net racial differences in college attendance across labor markets with varying degrees of racial occupational segregation. I do not find clear support for my hypothesis. However, I do find that white boys are more likely than Black boys to attend two-year colleges in places with more racially segregated labor markets. This finding suggests that a net-White advantage in vocational education pathways parallels the net-Black advantage in four-year college attendance, and provides some support for the hypothesized labor market mechanism. The third empirical chapter, co-authored with Christian Michael Smith, examines how high school course enrollment policies and school officials' decision-making affect racial inequality in high school tracking on the path to college. Prior work in sociology has produced conflicting evidence on whether and to what extent school officials' decision-making contributes to these patterns. We advance this literature by examining the effects of schools' enrollment policies for Advanced Placement (AP) courses. Using a unique combination of school survey data and administrative data from Wisconsin, we examine what happens to racial inequality in AP participation when school officials enforce performance-based selection criteria, which we call "course gatekeeping." We find that course gatekeeping has racially disproportionate effects. Although racialized differences in prior achievement partially explain the especially large negative effects among students of color, course gatekeeping produces Black-white and Hispanic-white disparities in participation even among students with similar, relatively low prior achievement. We further find that course gatekeeping has longer-run effects, particularly discouraging Black and Asian or Pacific Islander students from attending highly selective four-year colleges.

Starting and Finishing

Starting and Finishing
Author: Christian Michael Smith
Publisher:
Total Pages: 0
Release: 2020
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Two recurring findings at the intersection of social stratification and education research are (1) on the hopeful side, the power of a postsecondary education to dampen the influence of socioeconomic origins on socioeconomic destinations, and (2) the less sanguine finding that postsecondary participation and completion are distributed with massive inequality across socioeconomic origins. With the goal of finding ways to ameliorate this inequality, this dissertation comprises three studies that draw on substantive literature in social stratification and methodological literature in causal inference and effect heterogeneity. Each study assesses whether one idea for how to narrow socioeconomic inequality in postsecondary education holds up against empirical scrutiny. Chapter 2 Précis Studies in social stratification have used siblings as a tool to learn about the intergenerational transmission of advantage but less often have asked how siblings impact one another's life chances. I draw on social capital theory and hypothesize that, when youths attend college, they increase the probability that their siblings attend college. I further hypothesize that this effect is strongest among youths whose parents do not have college degrees. Findings from a U.S. national probability sample support both hypotheses. While it is possible that confounding factors drive the estimates, I conduct robustness checks that show confounding would need to be very atypically strong to invalidate a causal interpretation. The positive main effect suggests that an intragenerational transmission of educational advantage exists alongside the intergenerational transmission that receives more attention. Effect heterogeneity points to the potential redundancy of college-educated siblings' benefits when youths already receive similar benefits from college-educated parents. Chapter 3 Précis In 2015, Wisconsin began mandating that all 11th-grade students in public high schools take the ACT college entrance exam and the WorkKeys career readiness assessment. With a series of quasi-experimental analyses, we evaluate this policy. Applying an interrupted time series analysis, we estimate heterogeneous effects of the policy on four-year college attendance with joint respect to economic disadvantage status and propensity to take the ACT in the absence of the policy. We find that the policy has boosted four-year college attendance among economically disadvantaged students with middling propensities to take the ACT and among economically advantaged students with high propensities. Overall, the evidence suggests that the policy induced more economically advantaged students than economically disadvantaged students to attend a four-year college. A regression discontinuity design fails to find evidence that being deemed career-ready by one's WorkKeys scores affects one's probability of four-year college attendance, casting some doubt that the WorkKeys component of the policy played a significant role in the impacts of the policy on college attendance. The results tentatively suggest that students update their college attendance behavior based on new information about their college readiness but not based on new information about the immediate returns to forgoing college. Accordingly, the results lend qualified support to Bayesian learning theory. Chapter 4 Précis According to the theory of Effectively Maintained Inequality (EMI), children of economically advantaged parents not only enter each level of (post)secondary education at higher rates than do their less advantaged peers, but also enjoy educational opportunities at each level that position them more favorably to continue to the next level. Governments may play a role in facilitating or limiting EMI because they allocate appropriations to public universities; the more between-university variability in these funds, the more horizontal differences high-income students may exploit. I ask whether Wisconsin's unequal pattern of appropriations across its institutions of higher education exacerbates income-based disparities in college persistence. I test two hypotheses: (1) Economically advantaged students sort into the universities with greatest appropriations; (2) Appropriations promote first-to-second-year persistence. Evidence in favor of both hypotheses would support the claim that an unequal allocation of appropriations exacerbates college persistence disparities and, accordingly, suggest that unequal allocation facilitates EMI. Results support the first but not the second hypothesis. I then attempt to explain why appropriation appear to be independent of first-to-second-year persistence by examining whether changes in state appropriations were associated with changes in university expenditures that promote persistence. I find that academic support expenditures are most important for persistence in Wisconsin and that increases in state appropriations are not associated with increases in these expenditures. Taken together, the results do not present evidence that the Wisconsin state government can easily facilitate or limit EMI based on its allocation of state appropriations to universities.

Three Essays on the Higher Education Expansion in China

Three Essays on the Higher Education Expansion in China
Author: Qiao Wen
Publisher:
Total Pages:
Release: 2020
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Putting together, my dissertation provides a holistic picture of the full impacts of one of the largest education expansion program on record. My work is among the first to systematically analyze how the expansion affects "treated" individuals and the labor market at large, and therefore could contribute to all levels of decision-making. Findings from my analyses could also have global implications for much broader issues such as education-related income inequality, and the general equilibrium and distributional effects of large-scale social programs.

Three Essays on the Economics of Higher Education

Three Essays on the Economics of Higher Education
Author: Safa Ragued
Publisher:
Total Pages: 121
Release: 2017
Genre:
ISBN:

My thesis bridges two different literatures namely, the Economics of Education and Labor Economics. These two literatures are brought together to bear on public policy aimed at enhancing human capital and preventing inefficient schooling paths. The first chapter proposes a general equilibrium model of enrollment in higher education and labor supply, in the context of uncertain return on higher education and internationally mobile capital. The study aims to contrast the performances of different wage tax proposals on skill formation. The results suggest that the quantitative impact on skill formation of switching from the flat to the progressive tax varies with the level of efficiency with which higher education imparts graduates with suitable skills. This impact is negative when the level of efficiency of higher education is low and positive when it is high. The second chapter raises the issue of income inequality. The model considers three types of interventions on which the government could take action to maximize social welfare: financing early education, subsidizing college tuition and/or redistributing income through taxation. The study jointly determines the optimal level of these policies using a model of college enrollment. When calibrated to empirical evidence from the Canadian Province of Ontario, the model predicts an optimal policy mix characterized by the coexistence of redistributive taxation, public investment in K-12 education, and public subsidies for college tuition. Compared to the Status Quo policy scenario in Ontario, the optimal policy mix exhibits a lower share of public funds allocated to K-12 education, a higher share allocated to college tuition subsidies, and a higher level of redistributive taxation. More importantly, the results conclude that studies that do not jointly determine the optimal levels of the three policy options tend to overestimate these levels. While the first two chapters study the optimality of public policies, the third chapter empirically tackles the issue of temporary interruption of higher education, particularly, its effect on subsequent wages. Most of the studies that address the issue of the economic consequences of schooling interruption, examine dropping-out as a permanent decision. Little attention has so far been given to the effect of temporary drop out on earnings despite the substantial number of dropouts who at some point decide to re-enroll and complete their education. This chapter contributes to the understanding of this issue by investigating the extent to which schooling discontinuities affect post-graduation starting real wages and whether the latter are differently influenced by the reasons behind these discontinuities. This subject is examined using data from the 2007 National Graduate Survey. The covariates endogeneity is taken into account using Lewbel's (2012) generated instrument approach. The latter imposes some reasonable restrictions on the conditional second moments of the data, under heteroscedasticity of the error terms of the endogenous covariates. Under these constraints, the Lewbel framework provides generated instruments which are used along with additional external instruments, to estimate the model. Conditional on the levels of schooling and experience, the results find a positive effect on wages of temporary schooling interruption for men who had held a full-time job during their out-of-school spell(s). Both men and women witness a wage decrease if their interruption is associated with health issues. Women also bear a wage penalty if their interruption is due to a part-time job, to lack of money, or is caused by reasons other than health, work, and money.