Vocational Rehabilitation and Labor Market Outcomes: Evidence from World War I Veterans

2021 ◽  
pp. 1-24
Author(s):  
Ethan Schmick

Abstract This article uses a linked sample of World War I Army veterans from the state of Missouri to study the impact of vocational rehabilitation on labor market outcomes for men wounded and disabled during the war. Veterans’ military service abstracts are linked to the 1940 US Census and a subset are linked to rehabilitation records. This creates a new dataset that contains information on military service, rehabilitation, and labor market outcomes. I find that 70 percent of veterans that were both wounded in action and disabled when discharged from the army participated in the rehabilitation program. These same veterans had significantly better labor market outcomes, which can be attributed to the rehabilitation program under certain assumptions.

2010 ◽  
Vol 8 (3) ◽  
pp. 309-319 ◽  
Author(s):  
Maarten Lindeboom ◽  
Petter Lundborg ◽  
Bas van der Klaauw

2020 ◽  
Author(s):  
Thomas Albert DiPrete ◽  
Joanna Chae

A large literature in both sociology and political science has theorized about the importance of skill formation systems for macroeconomic performance, for the transition from school to work, and for labor market outcomes. However, consensus on how countries fit into these theoretical groupings has been difficult, and empirical evidence that these groupings matter has been elusive. Focusing on labor market outcomes across twenty-one European countries, this paper demonstrates that the strength of linkage between specific educational outcomes and occupational destinations is an important source of these institutional effects. Stronger linkage is generally associated with higher relative earnings and greater chances of employment, though heterogeneity exists both across age and gender groupings and across educational levels. Country-level structure matters because it is related to the local linkage strength of pathways, even as there is considerable heterogeneity within countries in the coherence of pathways from educational outcomes to occupations. Pathway effects clearly matter, particularly in how they shape the consequences of working in an occupation that is well matched to one's educational level and field of study. The strongest evidence for macro-structural effects concerns the impact of macro-structure on the earnings gap between well-matched and not-well matched workers with non-tertiary and with upper tertiary education. The findings suggest that policies to improve labor market outcomes do not require wholesale transformations of a country's skill formation system, but instead can focus on improving pathway coherence one pathway at a time.


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