Similarity in peer college preferences: New evidence from texas

In this paper, I use survey data from high school students in Texas to examine the magnitude of peer correlation in college preferences and choices. In this survey, respondents (and their classmates) recorded their preferences for attending specific colleges, and a follow up survey recorded their college enrollment decisions. This paper uses this information to present the first empirical examination of whether individuals who report preferences for “popular” colleges are more likely to attend their preferred college. The rich data set allows the use of often unavailable information such as distance to college, and the construction of the “popularity” variable allows the use of school-level fixed effects. Results indicate that individuals with 10 percentage points more classmates with matching college preferences are 3 percentage points more likely to enroll in their preferred college.

► This paper examines the potential for high school peers to influence college choice.
► New data from Texas contains information on college preferences and college choices.
► Main result is that sharing college preferences with classmates affects college choice.