The Evidence on Teaching

Earnings over the Life Course: General versus Vocational Education

Golsteyn, B. H. H., & Stenberg, A. · 2017

grade Clongitudinalindependentmixed
Sample
Not obtained at secondary depth; Swedish population registers
Population
Swedish individuals in short (two-year) upper-secondary programmes, followed across nearly complete careers — the longest earnings horizon in this literature.
Design
Register data with controls for GPA and FAMILY fixed effects, plus adjustment for further education and fertility. The sibling comparison is a real strength and would earn grade B under the archive's within-family rule; it is recorded C because track choice remains self-selected WITHIN family — siblings who chose different tracks differ, and the traits that drove the choice are heritable and are not absorbed by a family effect. Read at secondary depth; no magnitudes recovered.
Key findings
Descriptive earnings patterns support both halves of the lifecycle trade-off: vocational skills raise relative short-term earnings and general skills raise relative long-term earnings, and the pattern survives controls for GPA, family fixed effects, further education and fertility. This is the best non-experimental support for the trade-off — and it is also exactly what a selection story predicts, which is why it cannot settle the question.
Genetic confound
HIGH. Track choice is self-selected, and within-family selection is precisely the residual the family fixed effect cannot absorb. The archive's premise applies at full strength here.
Replication notes
Descriptively supports Hanushek et al.'s trade-off on Swedish registers. But it sits on the same side of the identification line as Hanushek — observational, self-selected track — and on the opposite side from Silliman & Virtanen, who study a comparable Nordic setting causally and find no decay.
DOI / URL
10.1086/691798

Effects

OutcomeMetricValueMeasureTimingVsHorizonClass
Relative earnings, vocational versus general, over the careerdirectionvocational ahead early, general ahead later; survives GPA and family fixed effects. Magnitudes not obtained.administrativenear-complete careersactive-alternativeadulthoodattainment

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