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Abstract Details
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Activity Number:
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189
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Type:
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Contributed
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Date/Time:
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Monday, July 30, 2012 : 10:30 AM to 12:20 PM
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Sponsor:
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General Methodology
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| Abstract - #306868 |
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Title:
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Modeling Local Labor Market Conditions and Students' Postsecondary Schooling Decisions
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Author(s):
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Caroline Swiger*+
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Companies:
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Clemson University
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Address:
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, , ,
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Keywords:
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nested logit, postsecondary education, local labor markets
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Abstract:
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This paper uses data from the Education Longitudinal Study of 2002 (ELS:2002/06) and the Bureau of Labor Statistics to assess the relative importance of local labor market conditions on high school students' decisions to invest in postsecondary education. A nested logit model is used to formally incorporate students' structured and sequential decision process of first choosing between graduating from high school or dropping out, and conditional on high school graduation, deciding whether to join the labor force or pursue postsecondary education. The model is used to estimate the influence of expected returns to schooling and employment prospects on student schooling choices while controlling for salient individual, family, and socioeconomic characteristics. Marginal effects by gender, income, and race/ethnicity are considered to determine potential heterogeneity in the interaction of local labor market conditions and educational attainment across the student population.
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