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This study investigates the long-term impact of China's general and vocational education streaming policy on student development. Drawing on functionalism and critical theory, we examine how this streaming affects human capital accumulation and socioeconomic outcomes. Utilizing unique survey data and a regression discontinuity design (RDD), we find that students streamed into general high school are significantly more likely to pursue higher education and experience higher initial job incomes, although current income disparities are less pronounced but occupational differences persist. Furthermore, males gain greater educational and income benefits compared to females, highlighting gendered inequalities. These provide novel empirical evidence on economic consequences of education streaming, offering crucial insights for policy optimization aimed at fostering educational equity and efficient human capital allocation.