Do inclusive education policies improve employment opportunities?: evidence from a field experiment

In labor markets where disadvantaged students are discriminated against, merit-based college scholarships targeting these students could convey two opposing signals to employers. There is a positive signal reflecting the candidate’s cognitive ability (talented in high-school and able to maintain a h...

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Detalles Bibliográficos
Autores principales: Monge Agüero, Jorge, Galarza, Francisco, Yamada Fukusaki, Gustavo
Formato: info:eu-repo/semantics/workingPaper
Lenguaje:Inglés
Publicado: Universidad del Pacífico. Centro de Investigación 2020
Materias:
Acceso en línea:https://hdl.handle.net/11354/3104
http://biblioteca-repositorio.clacso.edu.ar/handle/CLACSO/52114
Descripción
Sumario:In labor markets where disadvantaged students are discriminated against, merit-based college scholarships targeting these students could convey two opposing signals to employers. There is a positive signal reflecting the candidate’s cognitive ability (talented in high-school and able to maintain a high GPA in college) as well as her soft skills (overcoming poverty). There is also a possible negative signal as the targeting of the scholarship indicates that the beneficiary comes from a disadvantaged household. We conduct a correspondence study to analyze the labor market impact of an inclusive education program. Beca 18 provides merit-based scholarships to talented poor students admitted to 3-year and 5-year colleges in Peru. We find that the positive signal dominates. Including information of being a scholarship recipient increases the likelihood of getting a callback for a job interview by 20%. However, the effect is much smaller in jobs and careers where the poor are under-represented, suggesting that the negative signal of the scholarship is not zero.