Effects of education on labor market outcomes: quasi-experimental evidence from the 1997 Turkish compulsory schooling reform

Date

2023-10

Author

Ünal, Cankutcem

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This thesis investigates the impact of the 1997 Turkish Compulsory Schooling Law (CSL) on educational attainment and subsequent labor market outcomes. Using data from the Household Labor Force Survey (HLFS) spanning 2007-2022, the analysis focuses on Turkish individuals aged 25-35. The causal inference method employed is the Instrumental Variable (IV) approach. Results indicate that the CSL policy significantly bolstered 8th-grade (middle school) degree attainment for both genders. Additionally, a spillover effect was observed, leading to increased high school degree attainment exclusively for women. The return on education manifested distinctly between genders. Women experienced a 10% and 15% rise in monthly and hourly wages, respectively, whereas men saw a statistically insignificant 7% rise in both monthly and hourly rates. Additionally, women's monthly work hours decreased with the additional year of schooling. Education also increased their likelihood of being wage workers, being employed in the public sector, having social security, and working in larger companies. Conversely, their chances of being unpaid family workers diminished. All these employment transformations were not observed in men. This research underscores the multifaceted effects of compulsory education reforms on labor market dynamics, with pronounced gender-specific outcomes.

Subject Keywords

Compulsory education, Employment, Türkiye, Wages

URI

https://hdl.handle.net/11511/105544

Collections

Graduate School of Social Sciences, Thesis