In this paper, we exploit an exogenous change in the passing standard required to obtain a General Educational Development (GED) credential to identify the impact of the GED on the quarterly earnings of male dropouts, utilizing the Texas Schools Micro Data Panel (TSMP). These unique data contain...

We use data from the Texas Schools Microdata Panel (TSMP) to examine the extent to which dropouts use the GED as a route to post-secondary education. The paper develops a model pointing out the potential biases in estimating the effects of taking the "GED path" to postsecondary education....

In this paper we develop a simple model of the signaling value of the GED credential. The model illustrates necessary assumptions for a difference-in-difference estimator, which uses a change in the GED passing standard, to yield unbiased estimates of the signaling value of the GED for marginal...