Using a variance decomposition framework that bounds the effect of families and neighbourhoods, we find important effects of family characteristics and residential location on adult education and earnings in Norway. Neighbourhoods are less important than families, as the correlations among...

Using matched worker/plant level data for Norway, theories explaining the change in skill composition are assessed using direct evidence on the job creation and destruction for high, medium and low skilled workers. Skill based job creation is analysed in detail for plants in a high-skill service...

Whether increasing resource use in schools has a positive effect on pupil performance has occupied governments, parents and researchers for decades. A main challenge when trying to answer this question is to separate the effects of school resources from the effects of pupils’ family...

Older workers typically possess older vintages of skills than younger workers, and they may suffer more from technological change. Experienced workers may nevertheless have accumulated human capital making them suitable for adopting new technologies. On the other hand, to adjust to new...

Despite important policy implications associated with the allocation of education resources, evidence on the effectiveness of school inputs remains inconclusive. In part, this is due to endogenous allocation; families sort themselves non-randomly into school districts and school districts...

Job reallocation is considered to be a key characteristic of well-functioning labor markets, as more productive firms grow and less productive ones contract or close. However, despite its potential benefits for the economy, there are significant costs that are borne by displaced workers. We...

Given the wide use of child care subsidies across countries, it is surprising how little we know about the effect of these subsidies on children's longer-run outcomes. Using a sharp discontinuity in the price of child care in Norway, we are able to isolate the effects of child care subsidies on...

Lower birth weight babies have worse outcomes, both short-run in terms of one-year mortality rates and longer run in terms of educational attainment and earnings. However, recent research has called into question whether birth weight itself is important or whether it simply reflects other...

There is an extensive theoretical literature that postulates a trade-off between child quantity and quality within a family. However, there is little causal evidence that speaks to this theory. Using a rich data set on the entire population of Norway over an extended period of time, we examine...