Table 7

Impact of Unemployment Rate at Graduation on Educational Attainment—IV Specification

Dependent VariableFull Sample (1)Bottom Quintile (2)Median Quintile (3)Top Quintile (4)
Late Graduation from Upp. Sec. School
Effect of unemployment rate at graduation0.0030.003−0.0030.004
(0.003)(0.009)(0.007)(0.006)
Individuals68,24113,12713,23912,844
Mean of dependent variable0.0570.0990.0470.037
Accumulated Years of Schooling by Age 38
Effect of unemployment rate at graduation−0.030−0.077**−0.033−0.081
(0.023)(0.038)(0.062)(0.056)
Individuals66,29312,79712,83312,433
Mean of dependent variable12.81112.02212.74113.817
Track FE (instrumented)
Cohort FE
Municipality FE
Individual characteristics
  • Notes: Marginal effects are presented. Standard errors (in parentheses) are clustered at the municipality * cohort (j × c) level. Each model is estimated using the sample of students present in the year of (predicted) graduation. Significance: *p < 0.10, **p < 0.05, ***p < 0.01.