This study extends previous research on labor market effects of vocational education by explicitly modeling the intervening factors in the relationship between secondary vocational education and labor market outcomes. The strategy is to propose and estimate a simplified, recursive model that can contribute to understanding why positive earnings effects have been so hard to find for men, why the effects vary between men and women, and why the effects differ according to the time unit of measurement. The data used are from the National Longitudinal Survey (NLS) of Labor Market Experiences, Youth Cohort, and the high school transcripts of a subsample of the NLS panel. The estimated model created shows that vocational education may have both direct and indirect effects on earnings, income, and unemployment, and that the indirect effects operate through such intervening factors as job-search methods, unionization, industry, occupation, job tenure, labor market experience, and postsecondary education. The findings regarding indirect effects have several implications for vocational education policy. Although indirect effects are not dramatic, they are not trivial, showing that vocational education can probably make a significant, but limited, contribution to improving productivity and reducing income inequality. Also, some changes in programs may be necessary since the findings show that vocational education differs substantially between whites and minority graduates in its capacity to foster longer job tenure, more labor market experience, and greater labor market stability. Several findings suggest that policymakers should not place a heavy emphasis on hourly earnings alone as an evaluative criterion for vocational education. Directions for future research also are suggested by the study. (KC)