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Functional Literacy and Labor Market Outcomes

Robert I. Lerman and Stefanie R. Schmidt

The Urban Institute
100 M Street, NW
Washington, DC 20037

June 1999


Text Only Table 5: Effects of Education, Literacy, and Other Variables on the Employment of Females, Ages 25-24: 1992
Independent Variables

Age
Age Model 1 -0.031 Model 2 (Marginal Effect)- 0.034 Model 3 -0.035
Age Squared Model 1 0.001 Model 2 (Marginal Effect) 0.001 Model 3 0.001
Age cubed Model 1 0.000 Model 2 (Marginal Effect) 0.000 Model 3 0.000

Race/Ethnicity
Black Model 1 -0.011 Model 2 (Marginal Effect) -0.0045** Model 3 -0.009**
Hispanic Model 1 0.012 Model 2 (Marginal Effect) -0.008 Model 3 0.010
Other Race/Ethnicity Model 1 -0.104** Model 2 (Marginal Effect) -0.136** Model 3 -0.101

Birth Place
Foreign born Model 1 0.033** Model 2 (Marginal Effect) 0.019 Model 3 0.035

Regional Location
Live in the Midwest Model 1 0.005 Model 2 (Marginal Effect) 0.009 Model 3 0.004**
Live in the South Model 1 0.012 Model 2 (Marginal Effect) 0.011 Model 3 0.012**
Live in the West Model 1 -0.010 Model 2 (Marginal Effect) -0.002 Model 3 -0.010

Education
Less than a High School Education Model 1 -0.022** Model 2 (Marginal Effect) -0.046** Model 3 N/A
GED Education Model 1 -0.006 Model 2 (Marginal Effect) -0.003 Model 3 N/A
Some Post-secondary Education Model 1 0.006 Model 2 (Marginal Effect) 0.025** Model 3 N/A
College Education Model 1 0.015 Model 2 (Marginal Effect) 0.050** Model 3 N/A

Functional Literacy Level
Functional Literacy Level=1 Model 1 -0.108** Model 2 (Marginal Effect) N/A Model 3 -0.135**
Functional Literacy Level=2 Model 1 -0.058** Model 2 (Marginal Effect) N/A Model 3 -0.068**
Functional Literacy Level=4 or 5 Model 1 0.029** Model 2 (Marginal Effect) N/A Model 3 0.035**

Marital Status
Married and Living with Spouse 1Model 1 0.042** Model 2 (Marginal Effect) 0.050** Model 3 0.041**

Health
Physical Disability Model 1 -0.044** Model 2 (Marginal Effect) -0.058** Model 3 -0.046**
Poor Health Model 1-0.049** Model 2 (Marginal Effect) -0.056** Model 3 -0.050**

  1. Includes individuals who are not married but are in a living situation similar to marriage.

Note: Model 1 (obs=6250), Model 2 (obs=6250), Model 3 (obs=6258).
** Indicates significance at the 5 percent level.
* Indicates significance at the 10 percent level.

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