Is High School Employment Consumption or Investment?

47 Pages Posted: 26 Jul 2000

See all articles by Christopher J. Ruhm

Christopher J. Ruhm

University of Virginia - Frank Batten School of Leadership and Public Policy; National Bureau of Economic Research (NBER); IZA Institute of Labor Economics

Date Written: February 1995

Abstract

Using data from the National Longitudinal Survey of Youth, this study examines whether employment by high school students improves or worsens economic attainment 6 to 9 years after the scheduled date of high school graduation. There is no indication that light to moderate job commitments ever have a detrimental impact and hours worked during the senior grade are positively correlated with future earnings, fringe benefits, and occupational status. These results are robust across a variety of specifications and suggest that employment increases net investments in human capital and facilitates the school- to-work transition, particularly towards the end of high school and for students not continuing on to college.

Suggested Citation

Ruhm, Christopher J., Is High School Employment Consumption or Investment? (February 1995). NBER Working Paper No. w5030, Available at SSRN: https://ssrn.com/abstract=225809

Christopher J. Ruhm (Contact Author)

University of Virginia - Frank Batten School of Leadership and Public Policy ( email )

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