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The Long Shadow of Short-TermSchooling Disruption: Analysis of Kuwait‘s CivilService Payroll Data

World Bank 2021.04.30
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This paper estimates the long-termimpacts of schooling disruptions on private returns toschooling in Kuwait. It applies an instrumental variablesapproach to estimate the private returns to schooling, usingunique civil service payroll data, with Kuwaiti students’ exposure to the Gulf War (1990?91) as the instrument. TheGulf War is a suitable instrument because it profoundlyaffected Kuwaiti students‘ schooling at the time and isunlikely to be correlated with many potentially problematicomitted variables, such as students’ ability. The analysisfinds that (i) people who were of schooling age during theGulf War tend to have lower educational attainment thanpeople who were of schooling age after the Gulf War; (ii)men who were of schooling age at the time of the Gulf Warearn on average 5.6 percent less for each year of schoolinglost, and women earn correspondingly 6.8 percent less foreach year of schooling lost; (iii) students who were inlower grades during the Gulf War tend to suffer a greaterpercentage wage loss for each year of lost schooling.

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