Education-occupation mismatch: Is there an income penalty?
AbstractThis paper adds to the small literature on the consequences of education-occupation mismatches. It examines the income penalty for field of education – occupation mismatches for men and women with higher education in Sweden and reveals that the penalty for such mismatches is large for both men and women. In fact, it is substantially larger than has been found for the US. Controlling for cognitive ability further establishes that the income penalty is not caused by a sorting by ability, at least for Swedish men. The income penalty for men decreases with work experience which is an indication that education-specific skills and work experience are substitutes to some extent. There is no evidence, though, that the mismatched individuals move to a matching occupation over time. Thus, for some, the income penalty seems to be permanent.
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Bibliographic InfoPaper provided by Lund University, Department of Economics in its series Working Papers with number 2009:1.
Length: 21 pages
Date of creation: 06 Feb 2009
Date of revision:
Contact details of provider:
Postal: Department of Economics, School of Economics and Management, Lund University, Box 7082, S-220 07 Lund,Sweden
Phone: +46 +46 222 0000
Fax: +46 +46 2224613
Web page: http://www.nek.lu.se/en
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Human capital; rate of return; salary wage differentials; educational economics;
Other versions of this item:
- Nordin, Martin & Persson, Inga & Rooth, Dan-Olof, 2010. "Education-occupation mismatch: Is there an income penalty?," Economics of Education Review, Elsevier, Elsevier, vol. 29(6), pages 1047-1059, December.
- Nordin, Martin & Persson, Inga & Rooth, Dan-Olof, 2008. "Education-Occupation Mismatch: Is There an Income Penalty?," IZA Discussion Papers 3806, Institute for the Study of Labor (IZA).
- I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
This paper has been announced in the following NEP Reports:
- NEP-ALL-2009-02-14 (All new papers)
- NEP-EDU-2009-02-14 (Education)
- NEP-HRM-2009-02-14 (Human Capital & Human Resource Management)
- NEP-LAB-2009-02-14 (Labour Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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