THE IMPACT OF SCHOOL CHOICE ON EMPLOYMENT IN OECD COUNTRIES

Education is crucial in preparing individuals with the skills needed for the labor market. Understanding how different types of institutions contribute to employment is vital for policymakers. This paper examines the relationship between student enrollment in different types of institutions and employment in OECD countries from 1998 to 2017. It focuses on tertiary, post-secondary, and upper secondary levels, in public and private institutions. Using the two-step System GMM, the study finds that enrollment in both private and public schools positively affects employment at all education levels, with public schools making the most significant contribution. This paper fills an empirical gap by analyzing the relationship between employment and school choice rather than relying on standardized test scores. Unlike most studies, it covers multiple education levels and compares results across countries, providing a broader and more comprehensive perspective.