Carole Brunet () (GATE, University of Lyon, CNRS, ENS-LSH, Centre Léon Bérard, France) Nathalie Havet () (GATE, University of Lyon, CNRS, ENS-LSH, Centre Léon Bérard, France)
Abstract
Homeownership and job downgrading : our empirical study stems from previous research on the effects of residential status on microeconomic labour market outcomes. It focuses on employees and assesses the a priori ambiguous impact of homeownership on downgrading. We use the French data set of the 1995-2001 European Household Panel Survey to build a statistical measure of wage downgrading and a subjective measure of overeducation. We estimate a recursive bivariate probit that simultaneously models the residential status choice and its impact on the probability to be in a downgraded/overeducated job. Our results show that homeowners are, ceteris paribus, more wage downgraded and overeducated than renters. Consequently, homeownership could be a source of mismatch between workers and jobs on the labour market.
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Paper provided by Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure in its series Working Papers with number
0807.
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