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Overeducation at a glance. Determinants and wage effects of the educational mismatch, looking at the AlmaLaurea data

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Author Info

  • Floro Ernesto Caroleo

    ()
    (University of Naples "Parthenope”, IZA)

  • Francesco Pastore

    ()
    (Seconda Università di Napoli, IZA)

Abstract

This paper provides the first available evidence on overeducation/overskilling based on AlmaLaurea data. We focus on jobs held 5 years after graduation by pre-reform graduates in 2005. Overeducation/overskilling are relatively high – at 11.4 and 8% – when compared to EU economies. Ceteris paribus they tend to be more frequent among children of parents with lower educational levels, through school tracking. Most arts degrees and social sciences, but also Geology and Biology are associated to both types of the educational mismatch. The quality of education is also a factor, suggesting that in addition to the low demand for skills, one should also reckon the inability of the educational system to provide work-related skills. Moreover, we find a non-conditional wage penalty of 20% and 16% and a conditional one of about 12% and of 7%, respectively. Heckit returns a sample selection corrected penalty slightly higher, supporting not only the job competition and job assignment models, but also the human capital model.

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File URL: http://www2.almalaurea.it/universita/pubblicazioni/wp/pdf/wp58.pdf
File Function: First version, 2011
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Bibliographic Info

Paper provided by AlmaLaurea Inter-University Consortium in its series Working Papers with number 58.

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Length: 29
Date of creation: Feb 2014
Date of revision:
Handle: RePEc:laa:wpaper:58

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Web page: http://www.almalaurea.it

Related research

Keywords: University-to-Work Transition; Overeducation; Overskilling; Sample Selection Bias; AlmaLaurea; Italy.;

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References

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Citations

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Cited by:
  1. L. Cattani & G. Guidetti & G. Pedrini, 2014. "Assessing the incidence and wage effects of overeducation among Italian graduates using a new measure for educational requirements," Working Papers wp939, Dipartimento Scienze Economiche, Universita' di Bologna.
  2. Piero Cipollone, Andrea Cutillo, 2013. "Overeducation Or Asymmetric Information?," RIEDS - Rivista Italiana di Economia, Demografia e Statistica - Italian Review of Economics, Demography and Statistics, SIEDS Societa' Italiana di Economia Demografia e Statistica, vol. 0(2), pages 123-138, April-Jun.
  3. Giuseppe Lucio Gaeta, 2013. "Was it worth it? An empirical analysis of over-education among Ph.D. recipients in Italy," Working Papers 1302, c.MET-05 - Centro interuniversitario di Economia Applicata alle Politiche per L'industria, lo Sviluppo locale e l'Internazionalizzazione.

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