The Impact of Juvenile Conviction on Human Capital and Labor Market Outcomes

Limor Golan (), Rong Hai and Hayley Wabiszewski ()
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Hayley Wabiszewski: https://economics.wustl.edu/people/hayley-wabiszewski

No 2021-011, Working Papers from Federal Reserve Bank of St. Louis

Abstract: This article documents the long-term relationship among juvenile conviction, occupation choices, employment, wages, and recidivism. Using data from NLSY97, we document that youths who are convicted at or before age 17 have lower full-time employment rate and lower wage growth rate even after 10 years into the labor market. Merging the NSLY97 with occupational characteristics data from O*NET, we show that youths with a juvenile conviction are less likely to be employed in occupations that have a higher on-the-job (OTJ) training requirement and these high OTJ occupations have higher wage and wage growth. The accumulated occupation-specific work experience, general experience, and education are important to explain the gaps in wage and recidivism between youths with and without a juvenile conviction. Our results highlight the important role of occupation choices as a human capital investment vehicle through which juvenile crimes have a long-term impact on wages and recidivism.

Keywords: Human Capital; On-the-job training; Juvenile Conviction; Recidivism; occupational choice; Employment (search for similar items in EconPapers)
JEL-codes: J01 J24 J31 (search for similar items in EconPapers)
Pages: 37 pages
Date: 2021-10-21
New Economics Papers: this item is included in nep-lma
Note: Publisher DOI: https://doi.org/10.20955/r.104.41-69
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Published in Federal Reserve Bank of St. Louis Review

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DOI: 10.20955/wp.2021.011

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