Literature Review 2

Fraternity Membership and Labor Market Outcomes

"Fraternity Membership And Labor Market Outcomes." Monthly Labor Review 135.12 (2012): 39-40. Business Source Premier. Web. 14 Oct. 2014.

This article is about the outcomes of being in a fraternity and how it can help you later on in life. It talks about how fraternity members have a better success rate than non fraternity members because of what they have learned and picked up being in a greek organization. The article talks about how the jobs fraternity members get compared to the non greek students. It also states how fraternity members get better grades, are more involved on campus, and earn higher incomes than the people who do not join greek life. 

The authors of this article gathered their information from multiple sources such as people who graduated from college that were in a greek organizations and companies hiring people straight out of college. These authors obtained enough information to conclude that greek life has an impact on labor market outcomes. 

"three-signal setting”- used to determine three kinds of equilibrium. This helps determine if fraternity members are making more money than others. 

labor market outcomes- this key term was used often in the article and it is used to describe how greek life affects the labor market. research has shown greek life has an impact on labor market outcomes. 

“Popov and Bernhardt conclude from their analysis that under certain conditions, fraternity or sorority membership does have an effect on labor market outcomes--even when they "assume away" any correlation between productivity and socializing skills in order to focus on the decision-making and filtering process among students, fraternities, and employers.” (pg 5)

“College "Greek"-style fraternities have been an important part of U.S. campus life since the nation's founding. Although they have always represented a minority of the students at colleges and universities, fraternities and their members have wielded considerable influence--both on campus and off.” (pg 1)

“In the first, membership leads to higher wages because firms believe that fraternity members possess greater skills and abilities than nonmembers.” (pg 5)

This article can help me come up with my research question because it has a lot of facts pertaining to fraternity membership and the positive outcomes. Most people think fraternities are all about partying and not caring in school but these people couldn't be more wrong. Greek organizations do positive things on campus such as raise money for the school and philanthropies. This article goes into depth about how greek life has an impact on the outcomes of the labor market.