%0 Report
        %A Margaryan, Shushanik
%A Saniter, Nils
%A Schumann, Mathias
%A Siedler, Thomas
        %T Do Internships Pay Off? The Effects of Student Internships on Earnings
        %D 2019
        %8 2019 Jul
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 12478
        %U https://www.iza.org/index.php/publications/dp12478
        %X This paper studies the causal effect of student internship experience in firms on earnings later in life. We use mandatory firm internships at German universities as an instrument for doing a firm internship while attending university. Employing longitudinal data from graduate surveys, we find positive and significant earnings returns of about 6% in both OLS and IV regressions. The positive returns are particularly pronounced for individuals and areas of study that are characterized by a weak labor market orientation. The empirical findings show that graduates who completed a firm internship face a lower risk of unemployment during the first year of their careers, suggesting a smoother transition to the labor market.
        %K labor market returns
%K higher education
%K skill development
%K internships
%K instrumental variable