Determinants of College Major Choice : Identification Using an Information Experiment

This paper studies the determinants of college major choice using a unique information experiment embedded in a survey. We first ask respondents their self beliefs, population beliefs, as well as their subjective beliefs. After eliciting these baseline beliefs, we provide students with information on the true population distribution of these characteristics, and observe how this new information causes respondents to update their beliefs. Our experimental design creates unique panel data. The experimental variation in beliefs allows us to identify a rich model of college major choice, with which we estimate the relative importance of earnings and earnings uncertainty on the choice of college major versus other factors such as ability to complete coursework, spouses, characteristics, and tastes for majors. While earnings are a significant determinant of major choice, tastes are the dominant factor in the choice of field of study. We also investigate why males and females choose different college majors