Classroom rank in math, occupational choices and labor market outcomes

We examine the impact of students’ classroom rank in math on educational, occupational, and labor-market outcomes. Using Swiss PISA-2012 data linked to administrative student records and tax information, and leveraging variations in achievement distribution across classes, we find that students with higher math ranks are more likely to pursue STEM-related occupations. Through subject-specific survey questions, we provide evidence of the underlying mechanisms at play, and we also demonstrate that parents can serve as important mediators. Furthermore, we show that a higher classroom rank in math increases earnings and the willingness to invest in occupation-specific further education.