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Self-selection models for public and private sector job satisfaction

In: Jobs, Training, and Worker Well-being

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  • Simon Luechinger
  • Alois Stutzer
  • Rainer Winkelmann

Abstract

We discuss a class of copula-based ordered probit models with endogenous switching. Such models can be useful for the analysis of self-selection in subjective well-being equations in general, and job satisfaction in particular, where assignment of regressors may be endogenous rather than random, resulting from individual maximization of well-being. In an application to public and private sector job satisfaction, and using data on male workers from the German Socio-Economic Panel for 2004, and using two alternative copula functions for dependence, we find consistent evidence for endogenous sector selection.

Suggested Citation

  • Simon Luechinger & Alois Stutzer & Rainer Winkelmann, 2010. "Self-selection models for public and private sector job satisfaction," Research in Labor Economics, in: Jobs, Training, and Worker Well-being, pages 233-251, Emerald Group Publishing Limited.
    • Handle: RePEc:eme:rleczz:s0147-9121(2010)0000030010
    DOI: 10.1108/S0147-9121(2010)0000030010
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    Citations

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    Cited by:

    1. Stefan Boes, 2013. "Nonparametric analysis of treatment effects in ordered response models," Empirical Economics, Springer, vol. 44(1), pages 81-109, February.
    2. Robin Zoutenbier, 2016. "The impact of matching mission preferences on well-being at work," Economics of Governance, Springer, vol. 17(3), pages 295-315, August.
    3. Bucciol, Alessandro & Burro, Giovanni, 2022. "Is there a happiness premium for working in the public sector? Evidence from Italy," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 97(C).
    4. Ayaita Adam & Yang Philip & Gülal Filiz, 2019. "Where Does the Good Shepherd Go? Civic Virtue and Sorting into Public Sector Employment," German Economic Review, De Gruyter, vol. 20(4), pages 571-599, December.
    5. Prümer, Stephanie, 2019. "Ist der Staat der bessere Arbeitgeber? Arbeitsqualität im Öffentlichen und Privaten Sektor in Deutschland," Discussion Papers 107, Friedrich-Alexander University Erlangen-Nuremberg, Chair of Labour and Regional Economics.
    6. Alexander Pacek & Benjamin Radcliff & Mark Brockway, 2019. "Well-Being and the Democratic State: How the Public Sector Promotes Human Happiness," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 143(3), pages 1147-1159, June.
    7. Molnár, György & Kapitány, Zsuzsa, 2013. "Munkahely a közszférában. Biztonság és hivatás, a szubjektív szempontok szerepe [Public sector employment. Security and social mission- the role of subjective aspects]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(7), pages 781-813.
    8. Galanakis, Yannis, 2020. "Female Human Capital Mismatch: An extension for the British public sector," GLO Discussion Paper Series 669, Global Labor Organization (GLO).
    9. Danzer, Natalia, 2019. "Job satisfaction and self-selection into the public or private sector: Evidence from a natural experiment," Labour Economics, Elsevier, vol. 57(C), pages 46-62.
    10. Robert Davidson & Alexander Pacek & Benjamin Radcliff, 2021. "Public Sector Employment, Quality of Government, and Well-Being: A Global Analysis," International Area Studies Review, Center for International Area Studies, Hankuk University of Foreign Studies, vol. 24(3), pages 193-204, September.
    11. Bruno Frey & Alois Stutzer, 2010. "Happiness and public choice," Public Choice, Springer, vol. 144(3), pages 557-573, September.
    12. Ong, Qiyan & Theseira, Walter, 2016. "Does choosing jobs based on income risk lead to higher job satisfaction in the long run? Evidence from the natural experiment of German reunification," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 65(C), pages 95-108.
    13. Nazneen Ferdous & Chandra Bhat, 2013. "A spatial panel ordered-response model with application to the analysis of urban land-use development intensity patterns," Journal of Geographical Systems, Springer, vol. 15(1), pages 1-29, January.

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