Arbeitspapier

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

Family and social networks are widely believed to influence important life decisions but identifying their causal effects is notoriously difficult. Using admissions thresholds that directly affect older but not younger siblings’ college options, we present evidence from the United States, Chile, Sweden and Croatia that older siblings’ college and major choices can significantly in-fluence their younger siblings’ college and major choices. On the extensive margin, an older sibling’s enrollment in a better college increases a younger sibling’s probability of enrolling in college at all, especially for families with low predicted probabilities of enrollment. On the intensive margin, an older sibling’s choice of college or major increases the probability that a younger sibling applies to and enrolls in that same college or major. Spillovers in major choice are stronger when older siblings enroll and succeed in more selective and higher-earning majors. The observed spillovers are not well-explained by price, income, proximity or legacy effects, but are most consistent with older siblings transmitting otherwise unavailable information about the college experience and its potential returns. The importance of such personally salient in-formation may partly explain persistent differences in college-going rates by geography, income, and other determinants of social networks.

Language
Englisch

Bibliographic citation
Series: CESifo Working Paper ; No. 8301

Classification
Wirtschaft
Analysis of Education
Education and Inequality
Subject
sibling effects
college and major choice
peer and social network effects

Event
Geistige Schöpfung
(who)
Altmejd, Adam
Barrios-Fernández, Andrés
Drlje, Marin
Goodman, Joshua S.
Hurwitz, Michael
Kovac, Dejan
Mulhern, Christine
Neilson, Christopher
Smith, Jonathan
Event
Veröffentlichung
(who)
Center for Economic Studies and Ifo Institute (CESifo)
(where)
Munich
(when)
2020

Handle
Last update
10.03.2025, 11:44 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Altmejd, Adam
  • Barrios-Fernández, Andrés
  • Drlje, Marin
  • Goodman, Joshua S.
  • Hurwitz, Michael
  • Kovac, Dejan
  • Mulhern, Christine
  • Neilson, Christopher
  • Smith, Jonathan
  • Center for Economic Studies and Ifo Institute (CESifo)

Time of origin

  • 2020

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