Plausibly Exogenous [827] - University Admission (04/24/2022)
LHS Variable
Financial risk-taking
RHS Variable
Idiosyncratic, uninsurable labor income risk
Source of Exogenous Variation
Discontinuity built into the Danish national university admissions system, which provides quasi-random assignment of similar applicants to programs with different earnings risk profiles.
- d’Astous and Shore (2021), “Human Capital Risk and Portfolio Choices: Evidence from University Admission Discontinuities”