Local unemployment and the timing of post-secondary schooling |
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| Institution: | 1. Department of Economics, Lancaster University Management School, Lancaster University, UK;2. Department of Economics, Lancaster University Management School, Lancaster, Bailrigg LA1 4YX, UK;3. Dipartimento G.E.S., Universita’ Magna Graecia, Catanzaro, Italy;1. Department of Economics, The Ohio State University, 410 Arps Hall, 1945 N. High Street, Columbus, OH 43210, United States;2. U.S. Department of the Treasury, 1500 Pennsylvania Avenue NW, Washington DC 20220, United States;1. CREA, University of Luxemburg, Luxemburg;2. CORE, Université Catholique de Louvain, Belgium;3. Monash University, Australia;4. IFN, Stockholm;5. CEPR, United Kingdom |
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| Abstract: | Using Danish administrative data on all high school graduates from 1984 to 1992, I show that local unemployment has both a short- and a long-run effect on school enrollment and completion. The short-run effect causes students to advance their enrollment, and consequently their completion, of additional schooling. The long-run effect causes students who would otherwise never have enrolled to enroll and complete schooling. The effects are strongest for children of parents with no higher education. |
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