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Author: Chuang, Hwei-Lin
Resulting in 2 citations.
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Chuang, Hwei-Lin |
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An Estimable Dynamic Model of Schooling: An Application to High School Dropouts' Return to School Ph.D. Dissertation, The Ohio State University, 1990. DAI-A 51/07, p. 2477, January 1991 Cohort(s): NLSY79 Publisher: UMI - University Microfilms, Bell and Howell Information and Learning Keyword(s): Behavior; Dropouts; Educational Attainment; High School Dropouts; Teenagers; Wages; Wages, Reservation This dissertation is an empirical study of high school dropouts' behavior, focusing on their decision on whether to return to school. High school dropouts are known to have poorer labor market prospects than high school graduates. However, being a dropout is not necessarily a permanent condition. The data used in this study indicated that about fifty percent of high school dropouts did return to school and more than seventy percent of these returners did complete high school education eventually. Our society could thus benefit from developing or improving policies or programs that encourage dropouts to return to school. This study can provide useful information to policy-makers toward this goal. A standard discrete-time search model developed in job search theory is modified to apply to youth's in-school/out-of-school decision behavior. This model is solved for the cases of normal and lognormal distributions of the error terms. The solutions suggest that there exists a 'reservation' wage rate such that if an in-school teenager observes a wage rate lower than his reservation wage rate then he will stay in school, otherwise he will choose to drop out of school. On the other hand, if an out-of-school teenager observes a wage rate lower than his reservation wage then he will return to school. Using the male sample drawn from the 1979 through 1986 annual waves of the National Longitudinal Survey of Labor Market Experience of Youth, the model is estimated within a maximum likelihood routine. The estimated mean wage is only a few cents per hour less than the mean of observed wages. The predicted hazard rates are decreasing with duration of staying out of school. That is, the general decline in the observed hazard rates is picked up by the model. However, the model is not acceptable according to the conventional test of goodness of fit. Estimating a structural model can provide means for evaluating the impact of potential policy instruments. For example, one of the simulation results indicates that increasing the employment probabilities reduces the reservation wage rates and therefore reduces the hazard of returning to school. Thus, a policy that successfully increases the employment probability for dropout teenagers might have the side effect of discouraging dropouts to return to school. |
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Bibliography Citation
Chuang, Hwei-Lin. An Estimable Dynamic Model of Schooling: An Application to High School Dropouts' Return to School. Ph.D. Dissertation, The Ohio State University, 1990. DAI-A 51/07, p. 2477, January 1991. |
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Chuang, Hwei-Lin |
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High School Youths' Dropout and Re-enrollment Behavior Economics of Education Review 16,2 (April 1997): 171-186. Also: https://www.sciencedirect.com/science/article/pii/S0272775796000581 Cohort(s): NLSY79 Publisher: Elsevier Keyword(s): Armed Forces Qualifications Test (AFQT); High School Completion/Graduates; High School Dropouts Numerous studies have investigated the behavior of high school dropouts from economic, sociological, and educational points of view. However, data from the National Longitudinal Survey of Youth indicate that being a dropout is not necessarily a permanent condition. This paper attempts to empirically study through the application of logit models the dropout behavior of youths, as well as the decision of dropouts whether to return to school. Most results from the logistic regression for dropping out of school are consistent with the common finding in the literature. One exception is that the characteristic of being black is found to be less likely associated with dropping out. Results from the logistic regression for returning to school parallel the findings in the data analysis. Both results indicate that a dropout's AFQT (Armed Forces Qualification Test) score, age, and out-of-school duration are significant factors in determining the probability of returning to school. However, dropouts' activities during their out-of-school period have little influence on their decision to return to school. |
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Bibliography Citation
Chuang, Hwei-Lin. "High School Youths' Dropout and Re-enrollment Behavior." Economics of Education Review 16,2 (April 1997): 171-186.
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