The Effects of Community-wide Job Loss on Student Achievement

Abstract

Understanding the impact of job loss on student achievement has grown increasingly important given the widespread job loss that occurred during the Great Recession. I evaluate the impact of county-level job loss within North Carolina on 9th grade students’ enrollment and performance in classes that keep them on-track to attend college. I find that job losses that occur in the quarter immediately preceding the start of the school year increase student enrollment in courses that keep them on-track to attend college, on average. Conversely, I find that job losses that occur in the first calendar quarter decrease student performance in courses that keep them on-track to attend college. My findings demonstrate that state and local policymakers as well as school officials should be aware of the influence local economic events and crises have on students’ enrollment and performance in courses that prepare them for college.