Stumptown #1 by Greg Rucka and Matthew Southworth (2009)Interesting thing about Native American gambling enterprises: they may decrease demand for education.
This doesn't really have anything to do with the comic that I clipped above, but Stumptown did remind me of a fascinating paper I read by Will Evans about the impact of local labor market conditions on education enrollment:
Using restricted-use data from the 1990 and 2000 Census long-form, we analyze the impact of local labor market conditions on the demand for education using the economic shock produced by the opening of casinos on an Indian reservation as the identifying event. Federal legislation in 1988 allowed Indian tribes to open casinos in many states and since then, nearly 400 casinos have opened. We demonstrate that the opening of a casino increased the employment and wages of low-skilled workers. Young adults responded by dropping out of high school and reducing college enrollment rates, even though many tribes have generous college tuition subsidy programs.
Essentially, it seems that the opening of casinos has the negative unintended consequence of increasing the opportunity cost of education, particularly for low-skilled workers. This seems to outweigh any potential increase in educational attainment due to wealth effects (i.e. casinos increase family incomes, which should increase educational attainment) or due to the generous subsidies for college tuition that these casinos provide for tribe members.
It's an interesting read if you folks are into this sort of thing.
Of course, this also leaves the schools with a higher percentage of students who are motivated. As a former teacher, I can vouch for the positive network externalities that exist when students are excited about learning.
ReplyDeleteAlso note that quite a few people believe that modern societies are investing too much in certification based education.
ReplyDeleteWait till the casino jobs max out, and you've got children of (relatively) wealthy casino workers who can't all find casino jobs.
What do the life results of the children of GMC/Ford workers from 20-30 years ago look like?
Granite26 is certainly correct regarding too much certification investment and one the jobs do dry up it could lead to an education recession where students/children have to rely on paperwork to get employment at a later date. The fact that online casinos are also invested in too much is an incredible after thought.
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ReplyDeleteI can definitely recommend thegokkasten paper you are quoting, good read!
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ReplyDeleteIt is pretty simple actually, and it doesn't require it to be strictly a "casino problem" take any type of job opportunity you wish, and give it a chance to be used by not only Indian Reservations but any low profile place (to give it a name) and you'll see that the demand on education will drop down rapidly.
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Well much things are likely to happen here in Northern, CA. Casinos are most likely to increase the number of jobs that attracts students to quit school and work. Though casinos (Northern CA-based) are also providing several educational benefits for their employees, most choose to become full-time employers and take home their money.
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ReplyDeleteWell the young population it's lazy and more lazy everyday that's why must of them finish doing this kind of jobs.
ReplyDeletewell, it could be a perfect thing to Indian tribes because they can earn a lot of money with that besides it demonstrates opening of a casino increased the employment, other opportunity to living.m10m
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ReplyDeleteI read that this is wonderful, thanks for sharing, I will add an interesting detail, Rucka was featured as a character in the CSI: Crime Scene Investigation comic book miniseries Dying in the Gutters, as the accidental killer of a comics gossip columnist while intending to kill Joe Quesada over his perceived role in the ending of Gotham Central
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