The Impact of Stem Programmes on Schooling and Early Labour Market Outcomes
We examine the impact of enrolling in STEM programmes during secondary education on educational and early labour market outcomes. We estimate a dynamic discrete choice model based on longitudinal Belgian data, allowing us to jointly estimate youths’ educational and early labour market careers and to account for unobservable differences between youths. We find that STEM programmes reduce study delay and track downgrading, and increase graduating from secondary and tertiary education. STEM programme participants are also more often employed after leaving education, especially so with a permanent contract. These labour market effects are partly driven by indirect effects through improved schooling outcomes