SCHOOLS AND LABOR-MARKET OUTCOMES

This paper reports on an econometric analysis of the relationship betw een individual school characteristics and the earnings of students who enter the labor force directly from high school, using High School an d Beyond data. We conclude that which high school a student goes to ma kes a difference in annual earnings, but that most of the specific cha racteristics that account for the differences are not identifiable. On e category of characteristics, school-to-work interventions, however, are predictors: transmitting labor market information to students, and substantial work-for-pay experience by students while in high school translate into higher earnings. Students who have a large number of wo rk hours have lower grade-point averages, and higher grade-point avera ges translate into higher earnings. But, for those who do not go on to higher education, the positive direct effect of work experience on fu ture earnings is larger than the negative indirect effect via grade-po int average. [JEL I21] (C) 1997 Elsevier Science Ltd.