Party On: The Labor Market Returns to Social Networks in Adolescence

Adriana Lleras-Muney, Matthew Miller, Shuyang Sheng and Veronica Sovero

No 27337, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We investigate the returns to adolescent friendships on earnings in adulthood using data from the National Longitudinal Study of Adolescent to Adult Health. Because both education and friendships are jointly determined in adolescence, OLS estimates of their returns are likely biased. We implement a novel procedure to obtain bounds on the causal returns to friendships: we assume that the returns to schooling range from 5 to 15% (based on prior literature), and instrument for friendships using similarity in age among peers. Having one more friend in adolescence increases earnings between 7 and 14%, substantially more than OLS estimates would suggest.

JEL-codes: I20 J31 (search for similar items in EconPapers)
Date: 2020-06
New Economics Papers: this item is included in nep-lma and nep-ure
Note: CH ED LS
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
http://www.nber.org/papers/w27337.pdf (application/pdf)

Related works:
Working Paper: Party On: The Labor Market Returns to Social Networks in Adolescence (2024)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:nbr:nberwo:27337

Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w27337

Access Statistics for this paper

More papers in NBER Working Papers from National Bureau of Economic Research, Inc National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.. Contact information at EDIRC.
Bibliographic data for series maintained by ().