A Note on the Wage Effects of the 1972 Raising of the School Leaving Age in Scotland and Northern Ireland

Matthew Dickson, Franz Buscha

Research output: Contribution to journalArticle

Abstract

In this note, we use the UK Labour Force Survey to estimate the wage return to an additional year of schooling for Scotland and Northern Ireland exploiting the 1972 Raising of the School Leaving Age (RoSLA). Prior literature on this topic has consistently ignored both countries in a UK context, likely due to an incorrect belief that they were not affected by the 1972 RoSLA until some years later. We demonstrate that both countries were affected by the education reform in 1972 and our estimates suggest a positive effect on hourly wages for Scotland.
LanguageEnglish
JournalScottish Journal of Political Economy
StatusAccepted/In press - 26 Jun 2018

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wage
school
labor statistics
reform
Wages
Northern Ireland
Scotland
education
Schooling
Education reform
Labor force
literature

Keywords

  • Returns to education
  • Raising of the school leaving age
  • Earnings
  • Instrumental variables (IV)
  • Scotland, Northern Ireland

Cite this

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abstract = "In this note, we use the UK Labour Force Survey to estimate the wage return to an additional year of schooling for Scotland and Northern Ireland exploiting the 1972 Raising of the School Leaving Age (RoSLA). Prior literature on this topic has consistently ignored both countries in a UK context, likely due to an incorrect belief that they were not affected by the 1972 RoSLA until some years later. We demonstrate that both countries were affected by the education reform in 1972 and our estimates suggest a positive effect on hourly wages for Scotland.",
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AB - In this note, we use the UK Labour Force Survey to estimate the wage return to an additional year of schooling for Scotland and Northern Ireland exploiting the 1972 Raising of the School Leaving Age (RoSLA). Prior literature on this topic has consistently ignored both countries in a UK context, likely due to an incorrect belief that they were not affected by the 1972 RoSLA until some years later. We demonstrate that both countries were affected by the education reform in 1972 and our estimates suggest a positive effect on hourly wages for Scotland.

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