Decision of Brazilian youths: working and/or studying or neet

Abstract

This paper deals with identifying the most relevant factors that affect Brazilian youngsters’ decision on study/work or neither one, the latter named neet (not employed or in education or training). The methodological differs from others applied in the Brazilian literature for taking into account the interdependence in the youngsters’ decision, thus providing more adequacy and robustness in the results. Additionally, an empirical investigation is conducted to test differentiation in the choice between these activities by gender based on the Oaxaca decomposition. The evidence reveals severe heterogeneity in the neet youth population by gender and age, which hinders generalizations. It could be highlighted, however, the importance of household socioeconomic status to dictate youth vulnerability standards, as well as the relevance of motherhood to identify potential female youths to be in the neet condition, especially those in the 15-19 age range.