Cattan
Cattan
Cattan
Royal Economic Society. This is an Open Access article distributed under the terms of the Creative Commons Attribution License (https://creativecommons.or
g/licenses/by/4.0/), which permits unrestricted reuse, distribution, and reproduction in any medium, provided the original work is properly cited.
Advance Access Publication Date: 12 November 2022
Despite the relatively uncontested importance of promoting school attendance in the policy arena, little
evidence exists on the causal effect of school absence on long-run outcomes. We address this question
Student absence from school is pervasive around the world. While raising school attendance has
long been the focus of policy in developing countries, the issue has also gained prominence in
developed countries over the past decade. State and national governments have started taking
concrete measures to reduce absenteeism, ranging from better monitoring and public awareness
campaigns to monetary fines.
Despite the relatively uncontested importance of promoting school attendance in the policy
arena, there is little causal evidence of the effect of absence on socio-economic outcomes. The
few papers that credibly establish such evidence find that absences in elementary and secondary
school have a detrimental impact on academic achievement and school graduation (Goodman,
2014; Aucejo and Romano, 2016; Liu et al., 2021). While these papers are important in going
beyond the correlational evidence, they all focus on educational outcomes in the United States.
Much remains to be known as to whether (i) impacts on educational outcomes reflect human
capital losses that translate into long-term outcomes and (ii) whether these impacts generalise to
other contexts.
∗ Corresponding author: Sarah Cattan, Institute for Fiscal Studies, 7 Ridgmount Street, WC1E 7AE London, UK.
Email: sarah [email protected]
This paper was received on 1 March 2022 and accepted on 17 October 2022. The Editor was Barbara Petrongolo.
The authors were granted an exemption to publish their data because access to the data is restricted. However, the
authors provided the Journal with temporary access to the data, which allowed the Journal to run their codes. The
codes are available on the Journal repository. The data and codes were checked for their ability to reproduce the
results presented in the paper. The replication package for this paper is available at the following address: https://
doi.org/10.5281/zenodo.7064130.
For valuable comments we are grateful to Esteban Aucejo, Sonia Bhalotra, Arnaud Chevalier, Paul Devereux, Martin
Dribe, Martin Fischer, Petter Lundborg, Teresa Molina, Erik Plug, Martin Salm, Kjell Salvanes, Hendrik Schmitz, Nina
Schwarz, Guido Schwerdt and Matthias Westphal. We would also like to thank seminar participants at CINCH (Essen),
IFN (Stockholm), Lund University, University of Essex as well as participants of EEA 2015, ESPE 2015, IWAEE 2015,
VfS 2015 and the Essen Health Conference 2015. For collecting and digitising the data used here we are indebted to
our colleagues in Essen and Lund as well as a vast team of research assistants. Earlier versions of this paper circulate as
IZA Discussion Paper 10995 (September 2017), ISF Working Paper 06/21 (February 2021) and DICE Discussion Paper
383 (March 2022). Sarah Cattan gratefully acknowledges financial assistance from the British Academy Postdoctoral
Fellowship pf140104 and the ESRC-funded Centre for the Microeconomic Analysis of Public Policy (ES/T014334/1).
Therese Nilsson gratefully acknowledges financial support from the Swedish Research Council (dnr 2019-03553), the
Gyllenstierna Krapperup Foundation, KEFU and the Crafoord foundation (dnr 20190685). Daniel Kamhöfer is grateful
to the Institute for Fiscal Studies, London, and Lund University for hospitality, as well as to the German Academic
Exchange Service (DAAD) and the University of Duisburg-Essen–ERASMUS+ Mobility Program for financial support.
[ 888 ]
2023] the long-term effects of student absence 889
This paper provides evidence of the impact of student absence on educational achievement,
labour market outcomes and mortality in the context of Sweden. We construct a unique panel
following a representative sample of cohorts born 1930–5, which links digitised records of
absence and educational performance in elementary school with census and tax register data on
socio-economic outcomes throughout the life cycle. To our knowledge, this is the first dataset
that allows for an analysis of the long-term impact of absences. This is an important innovation
in light of evidence showing early career advantages either fading relatively fast (such as the
effect of the business cycle on earnings; cf. Genda et al., 2010; Oreopoulos et al., 2012; Altonji
et al., 2016) or becoming more pronounced at higher ages (such as the effects of schooling; cf.
Notes: The numbers refer to the individuals in the siblings sample (second row of Online Appendix Table B5) we are
able to match to the long-term outcomes. The age range gives the individual’s age at which the variable is measured.
Education is taken from the 1970 census, but likely reflects completed schooling for most individuals. The education
indicator takes the value 1 if the individual has more than compulsory Folkskola education, and 0 otherwise. Employment
in 1960 and 1970 is taken from the census information in these years and takes the value 1 if the individual is employed,
and 0 otherwise. Labour market income 1970 is based on the 1970 census; unemployment enters the labour market
income as zero. Pensions information is taken from tax registers and averaged over 2003–8. Zero pensions are dropped
(very few cases). Labour market income and pensions are measured in Swedish krona (current values).
equal 1 if the individual works at least part time, and 0 otherwise. From the 1970 census we also
have labour market income when individuals were in prime working age. The income measure
has imputed zeros for individuals who were not employed.
3 Online Appendix D provides details about the pension system and related rules.
C The Author(s) 2023.
2023] the long-term effects of student absence 893
in grade 4. Despite a very different context, the distribution of total days of absence is comparable
with that reported in recent US studies of absence in elementary school (Goodman, 2014; Aucejo
and Romano, 2016). We observe a slightly higher density of very high numbers of absence days
(see Online Appendix Figure C1 for the overall variation, and Online Appendix Figure C2 for
the within-family and within-individual variations), but unlike Goodman (2014), who excluded
observations with more than 60 days of absence, we do not cap absence days.4 Most absences
are sickness absences. The average number of missed days for other reasons than sickness is 1.7
in grade 1 and 3.3 in grade 4.
Average grade point in math, reading and writing, and speaking is higher in grade 4 than in
2. Empirical Strategy
2.1. Identification of Short-Term Effects
While the main focus of this paper is on the long-term effects of school absence, a natural
starting point is to estimate the contemporaneous effect of absence on school performance. This
also allows us to compare effects with those found for the current US context.
Our aim is to identify the effect of the number of days of absence in one year on academic
achievement measured at the end of that year. We exploit the fact that we observe performance
4 Instead we winsorise our data at the top 98th percentile of the distribution of days of sickness and non-sickness
absence.
5 The cohorts under review were born during the Great Depression and were in elementary school during World War
II. Although the depression was not as severe in Sweden as it was in many other countries, we re-estimate our model for
long-term outcomes, controlling for local economic conditions (poverty rate, taxable income per capita and the annual
change of the latter) in the year of birth; see column (7) of Table 4. These estimates are extremely similar to our main
estimates and, if anything, more precise. WWII is unlikely to have disrupted either the education or the archiving of
school records. Sweden was neutral in WWII and there was an oversupply of teachers (Paulsson, 1946). We have not
found historical sources suggesting that WWII caused disruptions in education and the probability that we found exam
catalogues in archives was the same for years during and not during the War.
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894 the economic journal [february
and absence in two grades (1 and 4) in order to control for individual-specific time-invariant
unobservable factors. We estimate the equation
Yistg = β0 + τ Dig + Q stg ’β2 + Ssg + Ttg + δi + u istg , (1)
where Yistg is grade-g performance of a student i attending school s taught by teacher t, Dig is the
number of days student i was absent from school in a grade, Q stg is a set of school/grade-specific
controls, Ssg is a grade-g school fixed effect (FE), Ttg is a grade-g teacher FE, and δi is an
individual FE.6
As argued by Bond and Lang (2013), which measure of educational achievement is used can
3. Results
3.1. Short-Term Effects of School Absence
Column (1) of Table 2 reports ordinary least square (OLS) estimates of parameter τ in (1), and
shows that one additional day of absence is significantly associated with a 0.51% of an SD
decrease in performance. The individual FE estimate in column (2) is slightly smaller (0.0045),
but also statistically significant at the 1% level.10
Assuming linearity, the effect of ten days of absence—the average in our sample—corresponds
to 4.5% of an SD decrease in performance. Despite analysing absence in a very different context
and literally in another century, our results measured in SD units are comparable to those in the
related literature. Using recent US data, Goodman (2014) found an effect of 0.8% of an SD in
math and English, and Aucejo and Romano (2016) found effects of 0.55% of an SD in math
and 0.29% in reading. Online Appendix Figures F1 and F2 present evidence strongly suggesting
that the relationship between absence and academic performance is linear. Moreover, we show
that there are no significant differences in the short-term impact of absences between gender and
across individuals from different socio-economic groups (Online Appendix F.2).
By anchoring student performance to pension incomes, we translate the short-term effect of
absence on school performance into its effect on earnings potential. Table 2 (second and third
rows) reports the results. In the individual FE specification, the impact of ten additional absence
days on school performance translates into a non-significant decrease in earnings potential of
SEK 16, equivalent to a 0.1% decrease in average pension income. We obtain similarly sized
effects when anchoring by grade and gender (third row), and when using earnings at age 35–40,
as the anchor.
Online Appendix F.3 presents results of tests we conduct to probe the validity of the individual
FE strategy to recover the causal effect of absence on performance. These results strongly suggest
that our short-term estimates of absence are likely robust to the presence of individual-level time-
varying unobserved heterogeneity.
9 Online Appendix Table C1 shows that a large fraction of variation in absence and performance in the data comes
from within-family variation, which provides confidence that there is sufficient variation to consider using a sibling FE
strategy.
10 Online Appendix Table F1 reports estimates for control variables. Online Appendix Table F2 states negative and
significant estimates of the effect of absences on performance for each of the three subjects. Online Appendix Table F3
shows that the estimates are unchanged when grade points are standardised before the aggregation. Online Appendix
Table F4 gives the estimates when averaging over the math grade points and reading and speaking grade points (without
writing). Online Appendix Table F5 gives the estimates when grades are coded on a seven-point scale.
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896 the economic journal [february
Table 2. Estimates of the Short-Term Effect of School Absence on Academic Performance.
(1) (2)
Individual
OLS fixed effects
Panel A: average grade points in units of SD (mean 0, SD 1)
Days of absence −0.0051∗∗∗ −0.0045∗∗∗
(0.0007) (0.0013)
Panel B: average grade points in units of pension (anchoring by grade, mean
pension in sample: 160,237 Swedish krona)
Days of absence −54.7344∗∗∗ −16.1192
Notes: Each cell reports the coefficient associated with days of absence in separate regressions where the dependent
variable is the variable indicated in the first row of each panel. The dependent variable in panel A is average performance
over math, reading and speaking, and writing, standardised to have mean 0 and SD 1. In panel B, it is a measure of average
grade points in units of pensions, where the relationship between grade points and pensions is estimated separately for
grade 1 and grade 4; see Online Appendix E. The third panel repeats the anchoring of grade points in units of pensions,
but estimates the relationship between grade points and pensions separately by school grade and gender. Both OLS and
individual FE models control for grade, range of grades instructed in the same classroom and length of the school year
in weeks. The OLS specification also controls for gender, born out of wedlock, twin birth, mother employed at the time
of birth, born in hospital, full sets of fixed effects for the year and month of birth, year and month interactions, age,
parent’s year of birth and family’s socio-economic status based on the first digit of the Historical International Standard
Classification of Occupations (HISCO) code (see van Leeuwen et al., 2002) of the father. Standard errors clustered at the
parish level are given in parentheses. Significance: ∗∗ p ≤ 0.05, ∗∗∗ p ≤ 0.01.
Notes: Each panel reports the coefficient associated with the total days of absence (average over grades 1 and 4) in
separate regressions where the dependent variable is indicated in the left column. Controls include gender, born out of
wedlock, twin birth, born in hospital, mother employed at the time of birth and sets of fixed effects for the year and month
of birth, year and month interactions. Specifications also controls for class size, the lowest and highest grade taught to
students in the same classroom and length of the school year in weeks, averaged across grades 1 and 4. Models also
control for school and teacher fixed effects, and a dummy if the individual changes school or teacher between grades 1 and
4. The OLS models further control for parent’s year of birth and family’s socio-economic status based on the first-digit
HISCO code of the father. Number of observations: more than Folkskola 5,976, employment 1960 7,434, employment
1970 5,976, income 1970 5,886, pensions 4,772. Standard errors clustered at the parish level are given in parentheses.
Significance: ∗ p ≤ 0.1, ∗∗ p ≤ 0.05, ∗∗∗ p ≤ 0.01.
Next, we turn to the effects of absence on labour market outcomes. Impacts on employment
are not statistically significant, but the point estimates suggest that impacts on employment may
grow slightly with age, from a 0.5% reduction in employment at ages 25–30 to a 1.3% reduction
ten years later. As shown in row 3 of Table 3, a one-day increase in the average number of days
of absence in elementary school leads to an SEK 80 reduction in earnings in 1970 and an SEK
396 reduction in pensions;11 both estimates are significant at the 5% level. Relative to the means
of these variables, the impacts are fairly similar in magnitude to each other, between 1%–2%
reduction in income. To put these magnitudes in perspective, consider that Fredriksson et al.
(2013) estimated an earnings increase of 1.2% at age 27–42 when class size in Swedish schools
is reduced by one student, Chetty et al. (2014) estimated an earnings rise of 1.3% at age 28 from
a 1-SD improvement in teacher quality in the United States, while Carrell et al. (2018) drew on
data for a Florida county and showed that exposure to a disruptive peer during elementary school
reduces earnings at age 26 by 3%–4%.
As with the short-term outcomes, we explore whether the effects of school absence on long-
term outcomes are non-linear, but find no strong evidence that this is the case (Online Appendix
11 Online Appendix Table D1 shows that pension results are robust when controlling for the receipt of a widow
pension.
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898 the economic journal [february
Figure G1). We also find no strong evidence that the effect of absence depends on whether
absence happened in grade 1 or grade 4 (Online Appendix Table G2).
Overall, our estimates point to a consistently negative effect of absences in elementary school
on economic outcomes through the life cycle, with more pronounced and statistically significant
impacts on educational attainment for men and on income for both genders. In terms of mag-
nitude, the effects are larger than what is implied by the short-run effects of absence on school
performance.12 Moreover, the effects become slightly larger and more significant when measured
further into the life cycle. Taken together, these results are consistent with a dynamic model of
skill accumulation, where skill deficits resulting from absences in elementary school translate
12 Specifically, the (sibling FE) effect of school performance, measured as average grade points in grades 1 and 4, on
secondary schooling completion is about 0.07 (Online Appendix Table G3). Multiplying this estimate by the estimated
effect of absence on school performance of −0.0045 (Table 2), we would expect an effect of absence on enrolment of
−0.0003 in the sibling FE specification. In contrast, our direct sibling FE estimate in Table 3 (−0.005) is considerably
larger than the indirect estimate.
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The next exercise uses the idea that, if the sibling FE specification does not control for an
important unobservable (fixed or time-varying) determinant of long-term outcomes, the sibling
FE estimate of grade-4 absence on long-term outcomes would change through the inclusion of
grade-1 performance, to the extent that grade-1 performance captures these unobservables (e.g.,
idiosyncratic work ethic or health shock occurring before grade 1). The results are reported in the
second and third columns of Table 4, and show that the estimated effect of grade-4 absence on
long-term outcomes remains virtually unchanged through the inclusion of grade-1 performance.
We then conduct two exercises to assess the possibility that individual-specific health shocks
during childhood confound our long-term estimates. First, we test whether absence due to
3.4. Bounds
The above robustness checks all suggest that the identifying assumption underlying the sibling FE
strategy is unlikely to be violated. However, given that it does remain an untestable assumption, we
conclude our analysis by bounding our estimates, using the approach of Oster (2019), which is also
implemented in Liu et al. (2021). As we describe in Online Appendix H, this approach exploits
observables in order to gauge how unobservables may affect the estimates, and is therefore
only helpful to the extent that the selection on observables is informative of the selection on
unobservables one might suspect. As our empirical strategy controls for a breadth of factors that
are likely to affect absence and long-term outcomes, the bounding approach seems useful here.
Column (1) (‘short regression’) of Table 5 reports the coefficients associated with absence in a
regression without any controls. Column (2) (‘intermediate regression’) replicates the sibling FE
C The Author(s) 2023.
900
Notes: Each panel reports the coefficient associated with the total days of absence (average over grades 1 and 4) in separate regressions where the dependent variable is indicated
in the left column. Controls as reported in Table 3. Panel A shows estimates in different sibling fixed effect specifications: (i) grade-4 effect with and without controlling for
C
grade-1 performance (see Online Appendix Table G6 for grade-1 performance coefficients), (ii) differentiating for different reasons of absence (see Online Appendix Table G7 for
non-sickness absence coefficients), (iii) estimates using same-sex siblings, (iv) controlling for school reforms and (v) controlling for local conditions at birth (poverty rate, taxable
income per capita, economic development (the year-to-year change in the taxable income per capita), all assessed at the time of birth). Panel B shows estimates on absence on
mortality by 1960, 1970 and 2003. Standard errors clustered at the parish level are given in parentheses. Significance: ∗ p ≤ 0.1, ∗∗ p ≤ 0.05, ∗∗∗ p ≤ 0.01.
[february
Notes: Column (1) gives the coefficient associated with absence in the short regression where the outcome variable (stated
on the left) is regressed on absence and an intercept (without any controls), denoted by β̇ in Online Appendix H. The
intermediate regression in column (2) reiterates the sibling FE specification estimates of the coefficient associated with
absence (reported in Table 3 and corresponding to β̃ in the model). Columns (3) and (4) report the bounds (β ∗ ) when
selection on unobservables is of the same magnitude as selection on observables and goes in the same direction (δ = 1)
and the opposite direction (δ = −1), respectively. The R 2 of the short and intermediate models are reported in brackets
in columns (1) and (2), respectively. To calculate the bounds, we use the Stata ado-file psacalc provided online by
Emily Oster. All errors are our own responsibility. Number of observations as in Table 3. Standard errors clustered at the
parish level are given in parentheses.
estimates from Table 3. Column (3) (column (4)) reports the bound under the assumption that the
unobservables move the point estimate in the same (opposite) direction and by the same magnitude
as the introduction of the observables does. Despite the R 2 of the intermediate regression being
higher than 0.5 for all outcomes, there is remarkably little change between columns (1) and (2).
This modest influence of selection on observables is reflected in the estimated bounds: all bounds
are negative, with the exception of the bound for the effect of absence on 1960 employment in
column (3). Thus, even under the extreme scenario that our sibling FE model fails to account for
as much selection on unobservables as it does account for selection on observables, we cannot
reject there would be a negative effect of absence on long-term outcomes.13
4. Conclusion
School absences are an important, but often overlooked, determinant of instructional time. To
date, little is known about the long-run impact of students missing school, and the only studies
13 Bounds for short-term effects in Online Appendix Table H1 underline this conclusion.
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902 the economic journal [february
providing causal evidence of the impact of student absence on academic performance focus on
the United States. The contribution of this paper is to estimate the impact of student absence in
elementary school on short- and long-term outcomes for a non-US context by using a unique
combination of historical records and administrative datasets from Sweden.
Our analysis shows that absence in elementary school has a significant and negative impact
on student performance: increasing total absence in one grade by ten days leads to a reduction
in grade point average of 4.4% of an SD, an effect of comparable magnitude to that found in the
United States. For men, this immediate impact on school performance spills over into secondary
school admissions, which were based on elementary school performance. This effect is at least
Institute for Fiscal Studies, London, UK & IZA—Institute of Labor Economics, Bonn, Germany
Heinrich Heine University Düsseldorf, Germany & IZA—Institute of Labor Economics, Bonn,
Germany
University of Duisburg-Essen, Germany & IZA—Institute of Labor Economics, Bonn, Germany
Lund University, Sweden & Research Institute of Industrial Economics (IFN), Stockholm, Sweden
Additional Supporting Information may be found in the online version of this article:
Online Appendix
Replication Package
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