LIFE AFTER DEBT: POSTGRADUATION CONSEQUENCES OF FEDERAL STUDENT LOANS

Martin Gervais and Nicolas Ziebarth

Economic Inquiry, 2019, vol. 57, issue 3, 1342-1366

Abstract: We estimate the causal effect of student loans on postgraduation labor market outcomes exploiting a kink in the formula determining eligibility for need‐based student loans. Using a representative sample of students graduating with a bachelor's degree in 1993, we find that student debt has nonnegative effects on earnings. This result holds with differing levels of statistical significance across a battery of different empirical designs: (1) ordinary least squares, (2) partially linear, and (3) regression kink. We find similar results for the 2008 graduating cohort. (JEL I22, I26, J32, J33)

Date: 2019
References: Add references at CitEc
Citations: View citations in EconPapers (8)

Downloads: (external link)
https://doi.org/10.1111/ecin.12763

Related works:
Working Paper: Life after Debt: Post-Graduation Consequences of Federal Student Loans (2017)
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:bla:ecinqu:v:57:y:2019:i:3:p:1342-1366

Ordering information: This journal article can be ordered from
https://ordering.onl ... s.aspx?ref=1465-7295

Access Statistics for this article

Economic Inquiry is currently edited by Tim Salmon

More articles in Economic Inquiry from Western Economic Association International Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().