TY  - JOUR
AU  - Agrawal, Mohit
AU  - Altonji, Joseph G
AU  - Mansfield, Richard K
TI  - Quantifying Family, School, and Location Effects in the Presence of  Complementarities and Sorting
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 25167
PY  - 2018
Y2  - October 2018
DO  - 10.3386/w25167
UR  - http://www.nber.org/papers/w25167
L1  - http://www.nber.org/papers/w25167.pdf
N1  - Author contact info:
Mohit Agrawal
Yale University 
PO Box 208268  
New Haven, CT 06520-8268
E-Mail: mohitii@gmail.com

Joseph G. Altonji
Department of Economics
Yale University
Box 208264
New Haven, CT  06520-8264
Tel: 203/432-6285
Fax: 203/432-5591
E-Mail: joseph.altonji@yale.edu

Richard K. Mansfield
Economics Building Room 04B
University of Colorado-Boulder
Boulder, CO 80309
E-Mail: richard.mansfield@colorado.edu
M1  - published as Mohit Agrawal, Joseph G. Altonji, Richard K. Mansfield. "Quantifying Family, School, and Location Effects in the Presence of Complementarities and Sorting," in David Card, organizer, "Youth Labor Markets" Journal of Labor Economics, volume 37, supplement 1 (University of Chicago Press) (2019)

AB  - We extend the control function approach of Altonji and Mansfield (2018) to allow for multiple group levels and complementarities. Our analysis provides a foundation for causal interpretation of multilevel mixed effects models in the presence of sorting. In our empirical application, we obtain lower bound estimates of the importance of school and commuting zone inputs for education and wages. A school/location combination at the 90th versus 10th percentile of the school/location quality distribution increases the high school graduation probability and college enrollment probability by at least .06 and .17, respectively. Treatment effects are heterogeneous across subgroups, primarily due to nonlinearity in the educational attainment model.
ER  -