--- title: "The Effects of an Education-Leave Program on Educational Attainment and Labor-Market Outcomes" authors: - name: "Kauhanen, Antti" url: "https://www.etla.fi/henkilot/kauhanen-antti/" sameAs: - "https://orcid.org/0000-0001-9506-1241" - "https://scholar.google.com/citations?user=AjYlgDoAAAAJ" - "https://twitter.com/Antti_Kauhanen" - "https://sites.google.com/view/antti-kauhanen/home" date_published: "2018-02-14" series: "ETLA Working Papers" series_number: "56" issn: - "2323-2420" - "2323-2439" jel_codes: - "I22" - "J24" - "H43" - "C21" - "M53" language: "en" publisher: "ETLA Economic Research" pdf_url: "https://www.etla.fi/wp-content/uploads/ETLA-Working-Papers-56.pdf" keywords: - "Adult education" - "Education leave" - "Linked employer‐employee data" - "Program evaluation" identifier: "https://www.etla.fi/julkaisut/id/ETLA-Working-Papers-56" abstract: "I study the effect of an education leave subsidy for the employed on labor-market outcomes and educational attainment using Finnish administrative linked employer-employee panel data and matching methods. The adult education allowance is available to employees with at least eight years of work experience and allows them to take a leave for 2–18 months to participate in an education program while being compensated for a substantial part of their forgone earnings. I find large positive treatment effects on educational attainment and changing occupation. The treatment effects on earnings and employment are negative during the lock-in period and close to zero afterward. Treatment effects on pseudo-outcomes are small and with one exception not statistically significant, which supports the credibility of the identification strategy. Sensitivity analyses show that unobserved variables should have a fairly large effect on treatment assignment to change the results." --- # The Effects of an Education-Leave Program on Educational Attainment and Labor-Market Outcomes **Published:** 2018-02-14 **Categories:** Julkaisut, Working Papers **URL:** https://www.etla.fi/julkaisut/the-effects-of-an-education-leave-program-on-educational-attainment-and-labor-market-outcomes/ #### Abstract I study the effect of an education leave subsidy for the employed on labor-market outcomes and educational attainment using Finnish administrative linked employer-employee panel data and matching methods. The adult education allowance is available to employees with at least eight years of work experience and allows them to take a leave for 2–18 months to participate in an education program while being compensated for a substantial part of their forgone earnings. I find large positive treatment effects on educational attainment and changing occupation. The treatment effects on earnings and employment are negative during the lock-in period and close to zero afterward. Treatment effects on pseudo-outcomes are small and with one exception not statistically significant, which supports the credibility of the identification strategy. Sensitivity analyses show that unobserved variables should have a fairly large effect on treatment assignment to change the results. --- ## Additional Information **Kirjoittajat:** Kauhanen, Antti **Kansikuva:** https://www.etla.fi/wp-content/uploads/etla-working-papers-56-kansi.jpg **Lataa Pdf:** https://www.etla.fi/wp-content/uploads/ETLA-Working-Papers-56.pdf **Key Words:** Adult education, Education leave, Linked employer‐employee data, Program evaluation **Jel:** I22, J24, H43, C21, M53 **Paivays:** 14.02.2018 **Sivuja:** 54 **Kieli:** en **Sarja:** ETLA Working Papers **Sarja Nro:** 56 **Issn:** 2323-2420, 2323-2439 (Pdf) **Saatavuus:** 2 ## Bibliographic metadata (JSON-LD) ```json { "@context": "https://schema.org", "@type": "ScholarlyArticle", "@id": "https://www.etla.fi/julkaisut/id/ETLA-Working-Papers-56", "headline": "The Effects of an Education-Leave Program on Educational Attainment and Labor-Market Outcomes", "inLanguage": "en", "publisher": { "@type": "Organization", "name": "ETLA Economic Research", "url": "https://www.etla.fi", "logo": { "@type": "ImageObject", "url": "https://www.etla.fi/wp-content/uploads/logo-etla_logo.svg" } }, "datePublished": "2018-02-14T00:00:00+00:00", "author": [ { "@type": "Person", "name": "Kauhanen, Antti", "url": "https://www.etla.fi/henkilot/kauhanen-antti/", "sameAs": [ "https://orcid.org/0000-0001-9506-1241", "https://scholar.google.com/citations?user=AjYlgDoAAAAJ", "https://twitter.com/Antti_Kauhanen", "https://sites.google.com/view/antti-kauhanen/home" ] } ], "abstract": "I study the effect of an education leave subsidy for the employed on labor-market outcomes and educational attainment using Finnish administrative linked employer-employee panel data and matching methods. The adult education allowance is available to employees with at least eight years of work experience and allows them to take a leave for 2–18 months to participate in an education program while being compensated for a substantial part of their forgone earnings. I find large positive treatment effects on educational attainment and changing occupation. The treatment effects on earnings and employment are negative during the lock-in period and close to zero afterward. Treatment effects on pseudo-outcomes are small and with one exception not statistically significant, which supports the credibility of the identification strategy. 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