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Quarterly Journal of Economics Vol. 136 No. 3 2021

O Brother, Where Start Thou? Sibling Spillovers on College and Major Choice in Four Countries

Adam Altmejd1; Andrés Barrios-Fernández2; Marin Drlje3; Joshua Goodman4; Michael Hurwitz5; Dejan Kovač6; Christine Mulhern7; Christopher Neilson8; Jonathan Smith9

1 Stockholm School of Economics and Swedish Institute for Social Research, Stockholm University, Sweden · 2 London School of Economics, Centre for Economic Performance, United Kingdom and VATT Institute for Economic Research, Finland · 3 CERGE-EI, a joint workplace of Charles University and the Economics Institute of the Czech Academy of Sciences, Prague, Czech Republic · 4 Boston University, United States · 5 College Board, United States · 6 Princeton University, United States and Halle Institute for Economic Research, Germany · 7 RAND Corporation, United States · 8 Princeton University, United States · 9 Andrew Young School of Policy Studies, Georgia State University, United States

open access

Abstract

Family and social networks are widely believed to influence important life decisions, but causal identification of those effects is notoriously challenging. Using data from Chile, Croatia, Sweden, and the United States, we study within-family spillovers in college and major choice across a variety of national contexts. Exploiting college-specific admissions thresholds that directly affect older but not younger siblings’ college options, we show that in all four countries a meaningful portion of younger siblings follow their older sibling to the same college or college-major combination. Older siblings are followed regardless of whether their target and counterfactual options have large, small, or even negative differences in quality. Spillover effects disappear, however, if the older sibling drops out of college, suggesting that older siblings’ college experiences matter. That siblings influence important human capital investment decisions across such varied contexts suggests that our findings are not an artifact of particular institutional detail but a more generalizable description of human behavior. Causal links between the postsecondary paths of close peers may partly explain persistent college enrollment inequalities between social groups, and this suggests that interventions to improve college access may have multiplier effects.

DOI
10.1093/qje/qjab006
Volume
136
Issue
3
Pages
1831-1886
Language
en
Sources
bibtex:phds-export.bib crossref openalex

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