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No Pass No Drive: Education and Allocation of Time

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  • Barua, Rashmi

    (Jawaharlal Nehru University)

  • Vidal-Fernandez, Marian

    (University of Sydney)

Abstract

Do negative incentives or sticks in education improve student outcomes? Since the late 1980s, several U.S. states have introduced No Pass No Drive (NPND) laws that set minimum academic requirements for teenagers to obtain driving licenses. Using data from the American Community Survey (ACS) and Monitoring the Future (MTF), we exploit variation across state, time, and cohort to show that NPND laws led to a 6.4 percentage point increase in the probability of graduating from high school among black males. Further, we show that NPND laws were effective in reducing truancy and increased time allocated to school-work at the expense of leisure and work.

Suggested Citation

  • Barua, Rashmi & Vidal-Fernandez, Marian, 2012. "No Pass No Drive: Education and Allocation of Time," IZA Discussion Papers 6464, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp6464
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    Cited by:

    1. Kendall J. Kennedy, 2020. "The Unexpected Effects of No Pass, No Drive Policies on High School Education," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 39(1), pages 191-217, January.
    2. David Yaskewich, 2015. "Dependent Health Insurance Laws and College Enrollment: Is There Evidence of College Lock?," Journal of Family and Economic Issues, Springer, vol. 36(4), pages 557-569, December.
    3. Lichtman-Sadot, Shirlee, 2016. "Improving academic performance through conditional benefits: Open/closed campus policies in high school and student outcomes," Economics of Education Review, Elsevier, vol. 54(C), pages 95-112.
    4. Dara N. Lee, 2013. "The Impact of Repealing Sunday Closing Laws on Educational Attainment," Journal of Human Resources, University of Wisconsin Press, vol. 48(2), pages 286-310.
    5. Kennedy, Kendall & Shen, Danqing, 2020. "Education, Crowding-out, and Black-White Employment Gaps in Youth Labor Markets: Evidence from No Pass, No Drive Policies," MPRA Paper 103788, University Library of Munich, Germany.
    6. Gregory Gilpin, 2018. "Licensure Provisions, Teen Licensing, and Vehicular Fatalities," CAEPR Working Papers 2018-010, Center for Applied Economics and Policy Research, Department of Economics, Indiana University Bloomington.
    7. Ben Ost & Weixiang Pan & Douglas Webber, 2018. "The Returns to College Persistence for Marginal Students: Regression Discontinuity Evidence from University Dismissal Policies," Journal of Labor Economics, University of Chicago Press, vol. 36(3), pages 779-805.
    8. Barua, Rashmi & Hoefer-Martí, Ian & Vidal-Fernandez, Marian, 2024. "Wheeling into school and out of crime: Evidence from linking driving licenses to minimum academic requirements," Journal of Economic Behavior & Organization, Elsevier, vol. 217(C), pages 334-377.
    9. Gilpin, Gregory, 2019. "Teen driver licensure provisions, licensing, and vehicular fatalities," Journal of Health Economics, Elsevier, vol. 66(C), pages 54-70.

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    More about this item

    Keywords

    negative incentives; education; allocation of time; dropout; No Pass No Drive laws;
    All these keywords.

    JEL classification:

    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • I2 - Health, Education, and Welfare - - Education

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