TY - JOUR AU - Heckman,James J. AU - LaFontaine,Paul A. AU - Rodriguez,Pedro L. TI - Taking the Easy Way Out: How the GED Testing Program Induces Students to Drop Out JF - National Bureau of Economic Research Working Paper Series VL - No. 14044 PY - 2008 Y2 - May 2008 UR - http://www.nber.org/papers/w14044 L1 - http://www.nber.org/papers/w14044.pdf N1 - Author contact info: James J. Heckman Department of Economics The University of Chicago 1126 E. 59th Street Chicago, IL 60637 Tel: 773/702-0634 Fax: 773/702-8490 E-Mail: jheckman@uchicago.edu Paul A. LaFontaine NORC 1155 E. 60th Street Chicago IL 60637 E-Mail: plafonta@gmail.com Pedro L. Rodriguez Center for Social Program Evaluation 1155 E. 60th Street Chicago, IL 60637 E-Mail: pedrolrs@uchicago.edu AB - We exploit an exogenous increase in General Educational Development (GED) testing requirements to determine whether raising the difficulty of the test causes students to finish high school rather than drop out and GED certify. We find that a six point decrease in GED pass rates induces a 1.3 point decline in overall dropout rates. The effect size is also much larger for older students and minorities. Finally, a natural experiment based on the late introduction of the GED in California reveals, that adopting the program increased the dropout rate by 3 points more relative to other states during the mid-1970s. ER -