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College Majors and the Knowledge Content of Jobs

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Author Info
James A. Freeman () (Wheaton College)
Barry T. Hirsch () (Trinity University and IZA)

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Abstract

College students select their majors for a variety of reasons, including expected returns in the labor market. This paper demonstrates an empirical method that links a census of U.S. degrees and fields of study with measures of the knowledge content of jobs. The study combines individual wage and employment data from the Current Population Survey (CPS) with ratings on 27 knowledge content areas from the Occupational Information Network (O*NET), thus providing measures of the economy-wide knowledge content of jobs. Fields of study and the corresponding BA degree data from the Digest of Education Statistics for 1976- 77 through 2001-02 are linked to these 27 content areas. We find that the choice of college major is responsive to changes in the knowledge composition of jobs and, more problematically, the wage returns to types of knowledge. Women’s degree responsiveness to knowledge content appears to be stronger than men’s, but their response to wage returns is weak.

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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 2941.

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Length: 33 pages
Date of creation: Jul 2007
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Handle: RePEc:iza:izadps:dp2941

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Related research
Keywords: college majors; job knowledge content; occupations; O*NET; returns to schooling;

Other versions of this item:

Find related papers by JEL classification:
J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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References listed on IDEAS
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  1. Solomon William Polachek, 1978. "Sex differences in college major," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 31(4), pages 498-508, July.
  2. Jack Fiorito & Robert C. Duffenbach, 1982. "Market and nonmarket influences on curriculum choice by college students," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 36(1), pages 88-101, October.
  3. Mark C. Berger, 1988. "Predicted future earnings and choice of college major," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 41(3), pages 418-429, April.
  4. Boudarbat, Brahim, 2008. "Field of study choice by community college students in Canada," Economics of Education Review, Elsevier, vol. 27(1), pages 79-93, February. [Downloadable!] (restricted)
  5. Robst, John, 2007. "Education and job match: The relatedness of college major and work," Economics of Education Review, Elsevier, vol. 26(4), pages 397-407, August. [Downloadable!] (restricted)
  6. Montmarquette, Claude & Cannings, Kathy & Mahseredjian, Sophie, 2002. "How do young people choose college majors?," Economics of Education Review, Elsevier, vol. 21(6), pages 543-556, December. [Downloadable!] (restricted)
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  7. Webbink, Dinand & Hartog, Joop, 2004. "Can students predict starting salaries? Yes!," Economics of Education Review, Elsevier, vol. 23(2), pages 103-113, April. [Downloadable!] (restricted)
  8. Finnie, Ross & Frenette, Marc, 2003. "Earning differences by major field of study: evidence from three cohorts of recent Canadian graduates," Economics of Education Review, Elsevier, vol. 22(2), pages 179-192, April. [Downloadable!] (restricted)
  9. Card, David, 2001. "Estimating the Return to Schooling: Progress on Some Persistent Econometric Problems," Econometrica, Econometric Society, vol. 69(5), pages 1127-60, September.
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  10. Katharine Abraham & Melissa A. Clark, 2003. "Financial Aid and Students' College Decisions: Evidence from the District of Columbia's Tuition Assistance Grant Program," NBER Working Papers 10112, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  11. Dan A. Black & Seth Sanders & Lowell Taylor, 2003. "The Economic Reward for Studying Economics," Economic Inquiry, Oxford University Press, vol. 41(3), pages 365-377, July. [Downloadable!] (restricted)
  12. Blakemore, Arthur E & Low, Stuart A, 1984. "Sex Differences in Occupational Selection: The Case of College Majors," The Review of Economics and Statistics, MIT Press, vol. 66(1), pages 157-63, February. [Downloadable!] (restricted)
  13. Susan Dynarski, 2002. "The Behavioral and Distributional Implications of Aid for College," American Economic Review, American Economic Association, vol. 92(2), pages 279-285, May. [Downloadable!]
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