The effect of compulsory education on non-cognitive skills: Evidence from low- and middle-income countries

Personality traits, preferences, and attitudes significantly influence labor market outcomes, and these non-cognitive skills are shaped by the social environment. While curriculum interventions can impact these skills, the effect of compulsory education on non-cognitive skills is less well understood. This study investigates the impact of extending compulsory education by examining educational reforms in four low- and middle-income countries. Utilizing cross-sectional data from the World Bank’s 2012/2013 initiative, we analyze the within-country variation in compulsory education years. Our findings indicate that increased compulsory education decreases emotional stability, grit, hostile attribution bias, patience, and willingness to take risks, while enhancing openness to experience and alternative solution or consequential thinking. • First study on compulsory education’s effect on non-cognitive skills in LMICs. • Expanding compulsory education causally affects personality and economic preferences. • Expanding education increases openness to experience and consequential thinking. • Schooling reforms reduce hostile attribution bias and emotional stability. • Educational expansions boost wages by 9%, 40% due to non-cognitive skill changes.