In this study, we attempt to simultaneously estimate family origin’s effects on college graduates’ outcomes both in the job market and along educational tracks by exploring a rich data set of college students from Beijing universities (College Education Panel Study, CEPS). Our empirical analysis shows that family origin has a significantly positive influence on graduates’ attainment of further education and income. College graduates from disadvantaged families are less likely to participate in postgraduate education and earn less than those from advantaged families, suggesting that a college degree does not ensure equal opportunities, in the job market or when following an educational track.

Regarding educational tracks, we find that graduates with college educated and cadre pa...[ Read more ]

In this study, we attempt to simultaneously estimate family origin’s effects on college graduates’ outcomes both in the job market and along educational tracks by exploring a rich data set of college students from Beijing universities (College Education Panel Study, CEPS). Our empirical analysis shows that family origin has a significantly positive influence on graduates’ attainment of further education and income. College graduates from disadvantaged families are less likely to participate in postgraduate education and earn less than those from advantaged families, suggesting that a college degree does not ensure equal opportunities, in the job market or when following an educational track.

Regarding educational tracks, we find that graduates with college educated and cadre parents are more likely to attend postgraduate study. However, parental income and education play roles in different stages, with the former (financial resources) significantly affecting graduates ’decisions to apply for postgraduate study. Parental college education (institutionalized cultural capital) increases the likelihood of success conditional on application. In the labor market, there is no significant association between parental resources and college graduates’ earnings if we only analyze the selected sample in the job market. However, the wage association related to parental resources becomes positively significant when controlling for the selection in the job market. This finding suggests that the seemingly meritocracy-based job market for undergraduates is caused by the fact that graduates from advantaged families delay their entry into the competition for jobs by further investing in their educational credentials.