Selective Colleges

So, college ‘pays off.’ But is it “worth it” to attend a highly selective college (e.g., Ivy League, Stanford, Williams)?

Well-known Fact Students who graduate from selective colleges earn more Students who graduate from selective colleges earn more each 100 point increase in average SAT of a school results in 3-7% higher earnings later in life Why? Why?

Selective Students Less Selective $$$$ $$ Does where you go to college make a difference?

Or, is it all in which students go to which schools? Selective Students Less Selective $$$$ $$

Dale and Krueger 2002 Study of the income ‘returns’ to selective colleges Study of the income ‘returns’ to selective colleges

“Natural Experiment”: Compared students who were admitted to selective schools, but chose to go elsewhere with earnings of students who enrolled in selective schools Compared students who were admitted to selective schools, but chose to go elsewhere with earnings of students who enrolled in selective schools This ‘controlled’ some aspects of the selection process This ‘controlled’ some aspects of the selection process

Focus on students who were admitted to selective and less selective schools Selective Students Less Selective $$$$ $$

Findings 1. Students who attend selective colleges earn more 2. But, among students who were admitted to selective colleges and chose to go elsewhere, no difference in wages 3. Except for students from disadvantaged backgrounds, who earned more when they went to selective schools.

The Aims of Education What is Abbott’s argument? What is Abbott’s argument? 3 aims 3 aims What do you think? What do you think?