A new study featured in this month's edition of American Economic Review found that employers are less likely to accept a job applicant for a business or health job if they have attended a for-profit online institution than they would an applicant from a nonselective public institution.
The researchers submitted a range of fictitious résumés to companies offering entry-level job openings. Some of the résumés were designed to be identical except for the educational history.
The study found that for business job vacancies that require a bachelor's degree, employers' callback rates differed by more than 20 percent in favor of applicants from public institutions as opposed to for-profits. Employers who are hiring for health jobs that don't require a certificate or license also prefer applicants from public institutions over those from for-profits.
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