Benefits of Education at the Intensive Margin: Childhood Academic Performance and Adult Outcomes Among American Immigrants

Abstract

Using the Children of the Immigrants Longitudinal Study from the United States, this paper examines the association between schooling at the intensive margin and adult outcomes among first- and second-generation American immigrants. Schooling at the intensive margin is measured by reading and math scores in middle school and by GPA scores in both middle and high school. We find that measures of academic performance predict pecuniary and nonpecuniary adult outcomes. We also find that academic performance in high school relative to middle school is important in explaining adult socioeconomic outcomes. Immigrants with higher GPAs in high school compared to middle school have more schooling, are in better health, are less likely to commit crime, and have higher expectations regarding future job prestige and schooling. On the other hand, a decline in GPAs is associated with lower satisfaction with income and occupation. Moreover, our results indicate that infant mortality rate, which is used as a proxy for unfavorable health conditions in the country of birth, has a negative impact on academic performance during childhood and on personal earnings and income satisfaction during adulthood.