 Educational choices and labour market outcomes in times of crisisSimon Bourassa-Viau, Jean-Denis Garon and Catherine Haeck Economics of Education Review, 2022, vol. 88, issue C Abstract: In this article, we estimate the impact of a large negative trade shock on labour market outcomes and educational choices of workers. We exploit the Canadian lumber export crisis beginning in 2007 in a quasi-experimental design. The crisis was sudden and more pronounced in the forestry industry than in comparable industries. We find that the employment probability of forestry industry workers decreased by 3.8 percentage points following the crisis relative to other workers in comparable industries. While one would expect younger forestry workers to return to school in such circumstances, we find that in the first two years following the crisis, unemployed workers did not go back to school. However, going back to school takes time, and after 3 to 4 years, we find that education enrolment increases by 2.9 percentage points, with a stronger effect on younger individuals (7.8 p.p.). This suggests that increases in education enrolment are gradual, as it is easier to drop out than to enrol. Facilitating access to post-secondary institutions for workers who lost their job’s permanently would be a valuable policy intervention. Keywords: Education; Labour demand shock; Youth; Employment; Unemployment (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:ecoedu:v:88:y:2022:i:c:s0272775722000115 DOI: 10.1016/j.econedurev.2022.102234 Access Statistics for this article Economics of Education Review is currently edited by E. Cohn More articles in Economics of Education Review from Elsevier |
Is your work missing from RePEc? Here is how to contribute.
Questions or problems? Check the EconPapers FAQ or send mail to .
EconPapers is hosted by the
School of Business at Örebro University.