Abstract

Abstract This article studies peer effects on the decision to enroll at university. To determine the social influence of peers, we use a measure encompassing the two major dimensions of social influence in the classroom: the ability and capacity of peers to exchange information about study options. This paper uses French administrative data on the universe of first year applicants to a single university over seven consecutive cohorts. We exploit idiosyncratic variations in the proportion of peers advised to change their educational choice. We find that our variable of interest has a small but negative and significant effect on the individual decision to attend university and observe stronger peer effects among groups of students of similar gender or socio-economic background. We also find a weaker impact of the proportion of peers advised to change their educational choice on the individuals of higher level of academic ability.

Highlights

  • At the completion of high school, senior students must make important decisions on their post-secondary education

  • We develop an empirical strategy using major-by-high-school-by-year fixed effects to deal with the endogenous sorting of students into peer groups

  • Our results suggest that having peers with a lower academic record has a slight but negative impact on the decision to enroll at university

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Summary

Introduction

At the completion of high school, senior students must make important decisions on their post-secondary education. These choices have long lasting effects, determining job opportunities and level of wages throughout their working career. It is important to study the influence of high school peers on an individual’s future education choices. Each year in April, senior high school students must select their higher education path using a website called Application Post Bac (APB).. Each year in April, senior high school students must select their higher education path using a website called Application Post Bac (APB).5 On that platform, they can list up to 24 institutions and fields of study in higher education that they are considering for the following academic year. In July of each year, if the student has graduated from Baccalauréat, she is allowed to enroll in university and into the subject field of choice from those listed on the APB selection process

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