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Date
Jun
06
2006

Middle School Behavioral Problems, High School Completion and Employment Outcomes in Early Adulthood

Presenter:

Mustafa Karakus

Authors:

Mustafa Karakus, David Salkever, Eric Slade, Nichalos Ialongo

Chair: Dan Polsky; Discussant: Daniel Polsky Tue June 6, 2006 10:45-12:15 Room 226

Rationale: High school completion is an important educational outcome in order to receive higher educational credentials and compete for better occupational prospects. ‘No Child Left Behind Act’ of 2002 aims to improve high school graduation by focusing on improvements of achievement scores such as gpa and standardized tests. However, simply focusing on these measures may not be sufficient to improve outcomes in high school graduation. Government data suggests that majority of adolescents who drop out of school present some level of behavioral problems. Thus, paying special attention to the needs of students with behavioral problems can increase the likelihood of education achievement and future occupational prospect.

Objectives: The objective of this study is to use data from the Fourth Follow-up to the National Education Longitudinal Study of 1988 (NELS 2000) to explore a causal relationship between middle school behavioral problems, high school completion, and subsequent labor market outcomes.

Methodology: We apply several statistical methods (multinomial logit, nested logit, and bivariate probit) that include a reduced form model as well as a structural model to test effects of middle school behavioral problems on high school graduation and future employment outcomes. We also test the possibility that both educational achievement and employment outcome may be caused by a common unobserved factor. Thus, our analysis includes school level instrumental variables and implements an instrumental variables methodology to control for possible endogeneity issues.

Conclusions: Preliminary results suggest that behavioral problems are important factors in explaining high school graduation and future employment prospects. Middle school behavioral problem indicators such as performing below ability, being passive or being disruptive in class and those students who are frequently absent are less likely to graduate from high school. Evidence on this relationship is stronger for male students. In addition, connection between high school graduation and employment outcome also differs by gender. Interestingly, unobserved characteristics that cause male students to drop out of school also produce more likelihood of employment. We do not observe the same result among female students. Policies that aim to improve educational achievements and future employment prospects should not be based on only observable characteristics such as gpa and other standardized test scores. We should pay special attention to the effects of behavioral problems and gender specific factors on educational and occupational success.

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