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Higher Education and the Determination of Aggregate Male Employment by Age

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Author Info
ANDERS STENBERG
MAGNUS WIKSTRÖM

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Abstract

This paper studies the determinants of age-specific employment rates among Swedish males, focusing on the effect of education on employment. We use cohort specific data for the time period 1984-1996 covering male cohorts aged 21-45. It is found that aggregate age-group-specific employment rates increase with the proportion of the cohort with an academic degree. Two states of the labour market are then compared; the high employment period 1984-1990 and the downturn 1991-1996. The effect is stronger in the downturn period as compared with the boom period. However, we do not find any strong evidence in favour of the hypothesis that the effect of higher education on employment is declining with age. A measure of relative education is used to capture crowding out effects. The results indicate a significant effect in the high employment period.

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Publisher Info
Article provided by Taylor and Francis Journals in its journal Education Economics.

Volume (Year): 12 (2004)
Issue (Month): 1 (April)
Pages: 87-101
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Handle: RePEc:taf:edecon:v:12:y:2004:i:1:p:87-101

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  1. Teulings, Coen & Koopmanschap, Marc, 1989. "An econometric model of crowding out of lower education levels," European Economic Review, Elsevier, vol. 33(8), pages 1653-1664, October. [Downloadable!] (restricted)
  2. van Ours, J. C. & Ridder, G., 1995. "Job matching and job competition: Are lower educated workers at the back of job queues?," European Economic Review, Elsevier, vol. 39(9), pages 1717-1731, December. [Downloadable!] (restricted)
  3. Michael L. Wachter & Choongsoo Kim, 1982. "Time Series Changes in Youth Joblessness," NBER Working Papers 0384, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  4. Saint-Paul, Gilles, 1994. "Unemployment and Increasing Returns to Human Capital," CEPR Discussion Papers 921, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
  5. Layard, R. & Nickell, S., . "Layard-Nickell," Instructional Stata datasets for econometrics layardnickell, Boston College Department of Economics. [Downloadable!]
  6. Nickell, Stephen, 1979. "Education and Lifetime Patterns of Unemployment," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages S117-31, October. [Downloadable!] (restricted)
  7. Zimmermann, Klaus F, 1991. "Ageing and the Labor Market: Age Structure, Cohort Size and Unemployment," Journal of Population Economics, Springer, vol. 4(3), pages 177-200, August.
  8. Saint-Paul, Gilles, 1996. "Are the unemployed unemployable?," European Economic Review, Elsevier, vol. 40(7), pages 1501-1519, August. [Downloadable!] (restricted)
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  9. McKenna, C. J., 1996. "Education and the distribution of unemployment," European Journal of Political Economy, Elsevier, vol. 12(1), pages 113-132, April. [Downloadable!] (restricted)
  10. Saint-Paul, G., 1993. "Unemployment, Wage Rigidity, and the Returns to Education," DELTA Working Papers 93-11, DELTA (Ecole normale supérieure).
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  11. Gregg, Paul & Manning, Alan, 1997. "Skill-biassed change, unemployment and wage inequality," European Economic Review, Elsevier, vol. 41(6), pages 1173-1200, June. [Downloadable!] (restricted)
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