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Overeducation and Ethnic Minorities in Britain

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Author Info
Battu, Harminder () (University of Aberdeen)
Sloane, Peter J. (University of Wales Swansea and IZA Bonn)

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Abstract

This study examines the utilisation of education across ethnic minorities in the UK. In particular, we examine the incidence of mismatch between educational qualifications and occupational attainment, the determinants of any mismatch and the consequences for earnings and other labour market outcomes. Using a modal measure of required education across sixty occupations we find that different ethnic groups have varying levels of over-education with the highest incidence being amongst the Indian and Africa-Asian groups. When we introduce controls we find that the African-Asians are more likely to be both over and under-educated relative to Indians (the omitted group), but this is reversed for those born in the UK. Foreign qualifications increase the likelihood of over-education for Pakistanis and Bangladeshis but reduce it for African-Asians. Language fluency increases the likelihood of mismatch. The results from our earnings regressions support previous work in relation to the returns to over, required and under-education, though with differences between native and immigrant non-whites.

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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 650.

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Length: 36 pages
Date of creation: Nov 2002
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Handle: RePEc:iza:izadps:dp650

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Related research
Keywords: ethnic minorities; educational qualifications; mismatch; earnings;

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Find related papers by JEL classification:
I2 - Health, Education, and Welfare - - Education
J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
J7 - Labor and Demographic Economics - - Labor Discrimination

This paper has been announced in the following NEP Reports:

References listed on IDEAS
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.:
  1. Edin, Per-Anders & Fredriksson, Peter & Åslund, Olof, 2000. "Ethnic enclaves and the economic success of immigrants - evidence from a natural experiment," Working Paper Series 2000:9, IFAU - Institute for Labour Market Policy Evaluation. [Downloadable!]
    Other versions:
  2. Chiswick, Barry R & Miller, Paul W, 1995. "The Endogeneity between Language and Earnings: International Analyses," Journal of Labor Economics, University of Chicago Press, vol. 13(2), pages 246-88, April. [Downloadable!] (restricted)
  3. Dustmann, Christian & Fabbri, Francesca, 2000. "Language Proficiency and Labour Market Performance of Immigrants in the UK," IZA Discussion Papers 156, Institute for the Study of Labor (IZA). [Downloadable!]
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  4. Hartog, Joop, 2000. "Over-education and earnings: where are we, where should we go?," Economics of Education Review, Elsevier, vol. 19(2), pages 131-147, April. [Downloadable!] (restricted)
  5. Lindley, Joanne, 2002. "The English Language Fluency and Earnings of Ethnic Minorities in Britain," Scottish Journal of Political Economy, Scottish Economic Society, vol. 49(4), pages 467-87, September. [Downloadable!] (restricted)
  6. Duncan, Greg J. & Hoffman, Saul D., 1981. "The incidence and wage effects of overeducation," Economics of Education Review, Elsevier, vol. 1(1), pages 75-86, February. [Downloadable!] (restricted)
  7. Sloane, P J & Battu, H & Seaman, P T, 1999. "Overeducation, Undereducation and the British Labour Market," Applied Economics, Taylor and Francis Journals, vol. 31(11), pages 1437-53, November. [Downloadable!] (restricted)
  8. Blackaby, David, et al, 1999. "Unemployment among Britain's Ethnic Minorities," Manchester School, University of Manchester, vol. 67(1), pages 1-20, January. [Downloadable!] (restricted)
  9. Steven Raphael & Michael Stoll, 2006. "Can Boosting Minority Car-Ownership Rates Narrow Inter-Racial Employment Gaps?," Berkeley Program on Housing and Urban Policy, Working Paper Series 1013, Berkeley Program on Housing and Urban Policy. [Downloadable!]
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  10. Leslie, Derek & Drinkwater, Stephen, 1999. "Staying on in Full-Time Education: Reasons for Higher Participation Rates among Ethnic Minority Males and Females," Economica, London School of Economics and Political Science, vol. 66(261), pages 63-77, February. [Downloadable!] (restricted)
  11. Sattinger, Michael, 1993. "Assignment Models of the Distribution of Earnings," Journal of Economic Literature, American Economic Association, vol. 31(2), pages 831-80, June. [Downloadable!] (restricted)
  12. McCormick, Barry, 1986. "Employment Opportunities, Earnings, and the Journey to Work of Minority Workers in Great Britain," Economic Journal, Royal Economic Society, vol. 96(382), pages 375-97, June. [Downloadable!] (restricted)
  13. Sicherman, Nachum, 1991. ""Overeducation" in the Labor Market," Journal of Labor Economics, University of Chicago Press, vol. 9(2), pages 101-22, April. [Downloadable!] (restricted)
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  14. Stewart, Mark B, 1983. "On Least Squares Estimation When the Dependent Variable Is Grouped," Review of Economic Studies, Blackwell Publishing, vol. 50(4), pages 737-53, October. [Downloadable!] (restricted)
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  15. Kiker, B. F. & Santos, Maria C. & de Oliveira, M. Mendes, 1997. "Overeducation and undereducation: Evidence for Portugal," Economics of Education Review, Elsevier, vol. 16(2), pages 111-125, April. [Downloadable!] (restricted)
  16. Michael A. Shields & Stephen Wheatley Price, 2002. "The English language fluency and occupational success of ethnic minority immigrant men living in English metropolitan areas," Journal of Population Economics, Springer, vol. 15(1), pages 137-160. [Downloadable!] (restricted)
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Full references

Cited by:
(explanations, 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.)

  1. Ingrid Linsley, 2005. "Overeducation in the Australian Labour Market: Its Incidence and Effects," Department of Economics - Working Papers Series 939, The University of Melbourne. [Downloadable!]
  2. Jones, Melanie K. & Sloane, Peter J., 2009. "Disability and Skill Mismatch," IZA Discussion Papers 4430, Institute for the Study of Labor (IZA). [Downloadable!]
  3. Maite Blazquez & Silvio Rendon, 2006. "Over-Education in Multilingual Economies: Evidence from Catalonia," Working Papers 0607, Centro de Investigacion Economica, ITAM. [Downloadable!]
    Other versions:
  4. Robert Elliott & Joanne Kathryn Lindley, 2006. "Immigrant Wage Differentials, Ethnicity and Occupational Clustering," Working Papers 2006008, The University of Sheffield, Department of Economics, revised May 2006. [Downloadable!]
  5. Joanne Lindley & Steven McIntosh, 2008. "A Panel Data Analysis of the Incidence and Impact of Over-education," Working Papers 2008009, The University of Sheffield, Department of Economics, revised Jul 2008. [Downloadable!]
  6. Shirley Dex & Jo Lindley, 2007. "Labour market job matching for UK minority ethnic groups," Working Papers 2007003, The University of Sheffield, Department of Economics, revised Jan 2007. [Downloadable!]
  7. Joanne Kathryn Lindley & Pamela Lenton, 2006. "The Over-Education of UK Immigrants: Evidence from the Labour Force Survey," Working Papers 2006001, The University of Sheffield, Department of Economics, revised Jan 2006. [Downloadable!]
  8. Joanne Lindley, 2008. "The Over-Education of UK Immigrants and Minority Ethnic Groups: Evidence from the Labour Force Survey," Working Papers 2007013, The University of Sheffield, Department of Economics. [Downloadable!]
    Other versions:
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