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Overeducation in the labour market

Author

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  • Gabriela Wronowska

    (Cracow University of Economics)

Abstract

Motivation: Many new phenomena which the Polish economy had never seen before transition manifested themselves. The society showed greater interest in higher education and the market for education services expanded, increasing the number of colleges and universities. This helped the spread of higher education, which for years determined the level of human capital represented by the supply of labour. Today’s labour market in Poland is showing signs of imbalance. One of the reasons involves overeducation. The phenomenon has been known since the 1970s. It was then described for the first time in pertinent literature, with the US where overeducation occurred on a large scale and where it had a number of adverse effects across the entire economy having been used as an example. It seems important to understand and analyse the reasons for the emergence and perpetuation of this phenomenon on the Polish labour market and to indicate its implication. Aim: The paper aims to present and discuss overeducation in terms of selected economic theories, identify its causes in Poland and further to determine the economic and social implications of the persistence of the phenomenon in the long run. Results: Based on the author’s analysis, it can be concluded that overeducation is a complex phenomenon. It is possible to identify several reasons for its occurrence and long-drawn persistence on the Polish labour market. Some of the reasons have to do with the dynamic growth of the labour market and the educational services sector, society’s desire to gain higher education, structural mismatches in the labour market and a common education policy at the EU level. Overedutaion has far-reaching consequences, both for the entire economy and the single participant of the labour market alike. The fact of its occurrence determines the processes taking place in the labour market.

Suggested Citation

  • Gabriela Wronowska, 2017. "Overeducation in the labour market," Ekonomia i Prawo, Uniwersytet Mikolaja Kopernika, vol. 16(2), pages 219-228, June.
    • Handle: RePEc:cpn:umkeip:v:16:y:2017:i:2:p:219-228
    DOI: 10.12775/EiP.2017.015
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    References listed on IDEAS

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    1. Sicherman, Nachum & Galor, Oded, 1990. "A Theory of Career Mobility," Journal of Political Economy, University of Chicago Press, vol. 98(1), pages 169-192, February.
    2. Séamus McGuinness, 2006. "Overeducation in the Labour Market," Journal of Economic Surveys, Wiley Blackwell, vol. 20(3), pages 387-418, July.
    3. Kiersztyn, Anna, 2013. "Stuck in a mismatch? The persistence of overeducation during twenty years of the post-communist transition in Poland," Economics of Education Review, Elsevier, vol. 32(C), pages 78-91.
    4. Dieter Verhaest & Eddy Omey, 2010. "The determinants of overeducation: different measures, different outcomes?," International Journal of Manpower, Emerald Group Publishing Limited, vol. 31(6), pages 608-625, September.
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    Cited by:

    1. Xiaoyan Yu & Shiyong Wu & Wei Chen & Mingxi Huang, 2021. "Sentiment Analysis of Public Opinions on the Higher Education Expansion Policy in China," SAGE Open, , vol. 11(3), pages 21582440211, August.
    2. Isaac Addai, 2020. "Overeducation: A Growing Phenomenon Among Ghanaian Teachers at the Pre-Tertiary Level? The Empirical Evidence," International Journal of Social Sciences Perspectives, Online Academic Press, vol. 7(2), pages 53-57.

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    More about this item

    Keywords

    labour market; overeducation; human capital;
    All these keywords.

    JEL classification:

    • A11 - General Economics and Teaching - - General Economics - - - Role of Economics; Role of Economists
    • A12 - General Economics and Teaching - - General Economics - - - Relation of Economics to Other Disciplines
    • A14 - General Economics and Teaching - - General Economics - - - Sociology of Economics

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