@TechReport{iza:izadps:dp16454,
            	author={Bertermann, Alexander and Kamhöfer, Daniel A. and Schildberg-Hörisch, Hannah},
            	title={More Education Does Make You Happier – Unless You Are Unemployed},
            	year={2023},
	month={Sep},
            	institution={Institute of Labor Economics (IZA)},
            	address={Bonn},
            	type={IZA Discussion Paper},
            	number={16454},
            	url={https://www.iza.org/publications/dp16454},
	abstract={This paper investigates the causal effect of education on life satisfaction, exploring effect heterogeneity along employment status. We use exogenous variation in compulsory schooling requirements and the build-up of new, academically more demanding schools, shifting educational attainment along the entire distribution of schooling. Leveraging plant closures and longitudinal information, we also address the endogeneity of employment status. We find a positive effect of education on life satisfaction for employed individuals, but a negative one for those without a job. We propose an aspiration-augmented utility function as a unifying explanation for the asymmetric effect of education on life satisfaction.
},
	keywords={education;life satisfaction;employment status;compulsory schooling reforms;school openings;instrumental variable estimation},
            }