High School Inputs and Labor Market Outcomes for Male Workers in Their Mid-Thirties: New Data and New Estimates from Wisconsin

C. A. Olson and D. Ackerman

Institute for Research on Poverty Discussion Papers from University of Wisconsin Institute for Research on Poverty

Abstract: This study presents new evidence on the relationship between high school inputs measured at the time male respondents attended high school and the earnings of these same individuals when they were in their mid-thirties. To accomplish this task, we matched newly coded data on the characteristics of Wisconsin high schools in 1954–57 to the Wisconsin Longitudinal Survey. Our estimates show a significant relationship between the characteristics of teachers and the earnings of their students 17 years after graduation. Specifically, a 1 percent increase in the average teacher salary in a district increases the earnings of students by 0.33 percent. The magnitude of this effect is larger than estimates reported in previous research and many times larger than the impact of increasing parents’ income by a comparable amount.

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