Work

Labor Market Returns to the GED Using Regression Discontinuity Analysis

Year: 2016

Type: article

Abstract: We evaluate returns to General Educational Development (GED) certification for high school dropouts using state administrative data. We apply a fuzzy regression discontinuity method to account for test takers retaking the test. For women we find that GED certification has no statistically significant effect on either employment or earnings. For men we find a significant increase in earnings in the second year after taking the test but no impact in subsequent years. GED certification increases postsecondary school enrollment by 4–8 percentage points. Our results differ from regression discontinuity approaches that fail to account for test retaking.

Source: Journal of Political Economy

DOI: 10.1086/686245

Authors: Christopher Jepsen, Peter Mueser, Kenneth Troske

Institutions: University College Dublin, IZA - Institute of Labor Economics, University of Missouri, University of Kentucky

Language: English

Topic: Labor market dynamics and wage inequality

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDGs: Decent work and economic growth, Quality education, Reduced inequalities

Open Access status: green

Funder: Spencer Foundation