Advanced Search
MyIDEAS: Login to save this paper or follow this series

Noncognitive Skills in Economics: Models, Measurement, and Empirical Evidence

Contents:

Author Info

  • Hendrik Thiel

    ()
    (Faculty of Economics and Management, Otto-von-Guericke University Magdeburg)

  • Stephan L. Thomsen

    ()
    (Faculty of Economics and Management, Otto-von-Guericke University Magdeburg)

Abstract

There is an increasing economic literature considering personality. This paper provides an overview on the role of these skills regarding three main aspects of economic analysis: measurement, theoretical modeling, and empirical estimates. Based on the relevant literature from different disciplines, the common psychometric measures used to assess personality are discussed. A recently proposed theoretical framework of human capital production takes personality explicitly into account. It is reviewed to clarify the understanding of crucial features of skill development. Based on these foundations, the main results of the empirical literature regarding noncognitive skills are classified along the research questions and summarized.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.ww.uni-magdeburg.de/fwwdeka/femm/a2009_Dateien/2009_37.pdf
File Function: First version, 2009
Download Restriction: no

Bibliographic Info

Paper provided by Otto-von-Guericke University Magdeburg, Faculty of Economics and Management in its series FEMM Working Papers with number 09037.

as in new window
Length: 49 pages
Date of creation: Oct 2009
Date of revision:
Handle: RePEc:mag:wpaper:09037

Contact details of provider:
Postal: Universitätsplatz 2, Gebäude W und I, 39106 Magdeburg
Phone: (0391) 67-18 584
Fax: (0391) 67-12 120
Web page: http://www.ww.uni-magdeburg.de
More information through EDIRC

Related research

Keywords: noncognitive skills; personality; human capital formation; psychometric measures;

Other versions of this item:

Find related papers by JEL classification:

References

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.:
as in new window
  1. Karsten Hansen & James J. Heckman & Kathleen J. Mullen, 2003. "The Effect of Schooling and Ability on Achievement Test Scores," NBER Working Papers 9881, National Bureau of Economic Research, Inc.
  2. Pedro Carneiro & Karsten T. Hansen & James J. Heckman, 2003. "Estimating Distributions of Treatment Effects with an Application to the Returns to Schooling and Measurement of the Effects of Uncertainty on College," NBER Working Papers 9546, National Bureau of Economic Research, Inc.
  3. Currie, Janet & Thomas, Duncan, 1995. "Does Head Start Make a Difference?," American Economic Review, American Economic Association, American Economic Association, vol. 85(3), pages 341-64, June.
  4. Almlund, Mathilde & Duckworth, Angela Lee & Heckman, James J. & Kautz, Tim, 2011. "Personality Psychology and Economics," IZA Discussion Papers 5500, Institute for the Study of Labor (IZA).
  5. Fehr, Ernst & Schmidt, Klaus M., 2005. "The Economics of Fairness, Reciprocity and Altruism – Experimental Evidence and New Theories," Discussion Papers in Economics, University of Munich, Department of Economics 726, University of Munich, Department of Economics.
  6. Nils Braakmann, 2009. "Psychological traits and the gender gap in full-time employment and wages: Evidence from Germany," Working Paper Series in Economics, University of Lüneburg, Institute of Economics 112, University of Lüneburg, Institute of Economics.
  7. Lex Borghans & Angela Lee Duckworth & James J. Heckman & Bas ter Weel, 2008. "The Economics and Psychology of Personality Traits," Working Papers, Geary Institute, University College Dublin 200827, Geary Institute, University College Dublin.
  8. Griliches, Zvi, 1977. "Estimating the Returns to Schooling: Some Econometric Problems," Econometrica, Econometric Society, Econometric Society, vol. 45(1), pages 1-22, January.
  9. McKinley Blackburn & David Neumark, 1991. "Unobserved Ability, Efficiency Wages, and Interindustry Wage Differentials," NBER Working Papers 3857, National Bureau of Economic Research, Inc.
  10. Christian GOURIEROUX & Alain MONFORT, 1991. "Simulation Based Inference in Models with Heterogeneity," Annales d'Economie et de Statistique, ENSAE, ENSAE, issue 20-21, pages 69-107.
  11. Margo Coleman & Thomas DeLeire, 2003. "An Economic Model of Locus of Control and the Human Capital Investment Decision," Journal of Human Resources, University of Wisconsin Press, University of Wisconsin Press, vol. 38(3).
  12. Becker, Anke & Deckers, Thomas & Dohmen, Thomas & Falk, Armin & Kosse, Fabian, 2012. "The Relationship Between Economic Preferences and Psychological Personality Measures," IZA Discussion Papers 6470, Institute for the Study of Labor (IZA).
  13. Borghans, Lex & Meijers, Huub & ter Weel, Bas, 2006. "The Role of Noncognitive Skills in Explaining Cognitive Test Scores," IZA Discussion Papers 2429, Institute for the Study of Labor (IZA).
  14. Borghans, Lex & ter Weel, Bas & Weinberg, Bruce A., 2006. "Interpersonal Styles and Labor Market Outcomes," IZA Discussion Papers 2466, Institute for the Study of Labor (IZA).
  15. Heineck, Guido & Anger, Silke, 2010. "The Returns to Cognitive Abilities and Personality Traits in Germany," EconStor Open Access Articles, ZBW - German National Library of Economics, ZBW - German National Library of Economics, pages 535-546.
  16. Bound, John & Griliches, Zvi & Hall, Bronwyn H, 1986. "Wages, Schooling and IQ of Brothers and Sisters: Do the Family Factors Differ?," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 27(1), pages 77-105, February.
  17. Antecol, Heather & Cobb-Clark, Deborah A., 2010. "Do Non-Cognitive Skills Help Explain the Occupational Segregation of Young People?," IZA Discussion Papers 5093, Institute for the Study of Labor (IZA).
  18. James Heckman & Pedro Carneiro & Flavio Cunha, 2004. "The Technology of Skill Formation," 2004 Meeting Papers, Society for Economic Dynamics 681, Society for Economic Dynamics.
  19. Heckman, James J., 2011. "Integrating Personality Psychology into Economics," IZA Discussion Papers 5950, Institute for the Study of Labor (IZA).
  20. Chen, Xiaohong, 2007. "Large Sample Sieve Estimation of Semi-Nonparametric Models," Handbook of Econometrics, Elsevier, in: J.J. Heckman & E.E. Leamer (ed.), Handbook of Econometrics, edition 1, volume 6, chapter 76 Elsevier.
  21. Borghans Lex & Golsteyn Bart H.H. & Heckman James & Humphries John Eric, 2011. "Identification Problems in Personality Psychology," Research Memorandum, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR) 025, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
  22. Susanne Schennach & James Heckman & Flavio Cunha, 2007. "Estimating the Technology of Cognitive and Noncognitive Skill Formation," 2007 Meeting Papers, Society for Economic Dynamics 973, Society for Economic Dynamics.
  23. Sergio Urzúa, 2008. "Racial Labor Market Gaps: The Role of Abilities and Schooling Choices," Journal of Human Resources, University of Wisconsin Press, University of Wisconsin Press, vol. 43(4).
  24. Groves, Melissa Osborne, 2005. "How important is your personality? Labor market returns to personality for women in the US and UK," Journal of Economic Psychology, Elsevier, Elsevier, vol. 26(6), pages 827-841, December.
  25. Pfeiffer, Friedhelm & Coneus, Katja, 2007. "Self-Productivity in Early Childhood," ZEW Discussion Papers, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research 07-053 [rev.], ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  26. Gerrit Mueller & Erik Plug, 2006. "Estimating the effect of personality on male and female earnings," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, ILR Review, Cornell University, ILR School, vol. 60(1), pages 3-22, October.
  27. Flavio Cunha & James J. Heckman, 2009. "The Economics and Psychology of Inequality and Human Development," NBER Working Papers 14695, National Bureau of Economic Research, Inc.
  28. Flavio Cunha & James J. Heckman, 2008. "Formulating, Identifying and Estimating the Technology of Cognitive and Noncognitive Skill Formation," Journal of Human Resources, University of Wisconsin Press, University of Wisconsin Press, vol. 43(4).
  29. Blomeyer, Dorothea & Coneus, Katja & Laucht, Manfred & Pfeiffer, Friedhelm, 2008. "Initial Risk Matrix, Home Resources, Ability Development and Children's Achievement," IZA Discussion Papers 3692, Institute for the Study of Labor (IZA).
  30. Flavio Cunha & James J. Heckman, 2009. "The Economics & Psychology of Inequality and Human Development," Working Papers, Geary Institute, University College Dublin 200905, Geary Institute, University College Dublin.
  31. James J. Heckman, 2008. "Schools, Skills, and Synapses," NBER Working Papers 14064, National Bureau of Economic Research, Inc.
  32. Pedro Carneiro & Claire Crawford & Alissa Goodman, 2007. "The Impact of Early Cognitive and Non-Cognitive Skills on Later Outcomes," CEE Discussion Papers, Centre for the Economics of Education, LSE 0092, Centre for the Economics of Education, LSE.
  33. John, Katrin & Thomsen, Stephan L., 2012. "Heterogeneous Returns to Personality - The Role of Occupational Choice," Hannover Economic Papers (HEP), Leibniz Universität Hannover, Wirtschaftswissenschaftliche Fakultät dp-495, Leibniz Universität Hannover, Wirtschaftswissenschaftliche Fakultät.
  34. Cobb-Clark, Deborah A. & Schurer, Stefanie, 2011. "The Stability of Big-Five Personality Traits," IZA Discussion Papers 5943, Institute for the Study of Labor (IZA).
  35. Dohmen, Thomas & Falk, Armin & Huffman, David B. & Sunde, Uwe, 2007. "Are Risk Aversion and Impatience Related to Cognitive Ability?," IZA Discussion Papers 2735, Institute for the Study of Labor (IZA).
  36. Flavio Cunha & James J. Heckman & Lance Lochner & Dimitriy V. Masterov, 2005. "Interpreting the Evidence on Life Cycle Skill Formation," NBER Working Papers 11331, National Bureau of Economic Research, Inc.
  37. Nicole M. Fortin, 2008. "The Gender Wage Gap among Young Adults in the United States: The Importance of Money versus People," Journal of Human Resources, University of Wisconsin Press, University of Wisconsin Press, vol. 43(4).
  38. S. Kolm & Jean Mercier Ythier (ed.), 2006. "Handbook of the Economics of Giving, Altruism and Reciprocity," Handbook on the Economics of Giving, Reciprocity and Altruism, Elsevier, Elsevier, edition 1, volume 1, number 1, 00.
  39. Coneus, Katja & Gernandt, Johannes & Saam, Marianne, 2009. "Noncognitive skills, school achievements and educational dropout," ZEW Discussion Papers, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research 09-019, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  40. Carneiro, Pedro & Hansen, Karsten & Heckman, James, 2003. "Estimating distributions of treatment effects with an application to the returns to schooling and measurement of the effects of uncertainty on college choice," Working Paper Series, IFAU - Institute for Evaluation of Labour Market and Education Policy 2003:9, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  41. Arleen Leibowitz, 1974. "Home Investments in Children," NBER Chapters, National Bureau of Economic Research, Inc, in: Marriage, Family, Human Capital, and Fertility, pages 111-135 National Bureau of Economic Research, Inc.
  42. Kosse, Fabian & Pfeiffer, Friedhelm, 2012. "Impatience among preschool children and their mothers," Economics Letters, Elsevier, Elsevier, vol. 115(3), pages 493-495.
  43. Eric Knudsen & James J. Heckman & Judy Cameron & Jack P. Shonkoff, 2006. "Economic, Neurobiological and Behavioral Perspectives on Building America’s Future Workforce," World Economics, World Economics, Economic & Financial Publishing, 1 Ivory Square, Plantation Wharf, London, United Kingdom, SW11 3UE, World Economics, Economic & Financial Publishing, 1 Ivory Square, Plantation Wharf, London, United Kingdom, SW11 3UE, vol. 7(3), pages 17-41, July.
  44. James J. Heckman & Jora Stixrud & Sergio Urzua, 2006. "The Effects of Cognitive and Noncognitive Abilities on Labor Market Outcomes and Social Behavior," NBER Working Papers 12006, National Bureau of Economic Research, Inc.
  45. Richard Spady, 2006. "Identification and estimation of latent attitudes and their behavioral implications," CeMMAP working papers, Centre for Microdata Methods and Practice, Institute for Fiscal Studies CWP12/06, Centre for Microdata Methods and Practice, Institute for Fiscal Studies.
  46. Hause, John C, 1972. "Earnings Profile: Ability and Schooling," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 80(3), pages S108-S38, Part II, .
  47. Eric I. Knudsen & James J. Heckman & Judy L. Cameron & Jack P. Shonkoff, 2006. "Economic, Neurobiological and Behavioral Perspectives on Building America's Future Workforce," NBER Working Papers 12298, National Bureau of Economic Research, Inc.
  48. Lee Cronbach, 1951. "Coefficient alpha and the internal structure of tests," Psychometrika, Springer, Springer, vol. 16(3), pages 297-334, September.
  49. Yoram Ben-Porath, 1967. "The Production of Human Capital and the Life Cycle of Earnings," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 75, pages 352.
  50. Melissa Osborne & Herbert Gintis & Samuel Bowles, 2001. "The Determinants of Earnings: A Behavioral Approach," Journal of Economic Literature, American Economic Association, American Economic Association, vol. 39(4), pages 1137-1176, December.
  51. Richard H. Spady, 2007. "Semiparametric Methods for the Measurement of Latent Attitudes and the Estimation of Their Behavioural Consequences," Economics Working Papers, European University Institute ECO2007/29, European University Institute.
  52. S. Kolm & Jean Mercier Ythier (ed.), 2006. "Handbook of the Economics of Giving, Altruism and Reciprocity," Handbook on the Economics of Giving, Reciprocity and Altruism, Elsevier, Elsevier, edition 1, volume 2, number 2, 00.
  53. H. Schneeweiß, 1976. "Consistent estimation of a regression with errors in the variables," Metrika, Springer, Springer, vol. 23(1), pages 101-115, December.
  54. Arleen Leibowitz, 1974. "Home Investments in Children," NBER Chapters, National Bureau of Economic Research, Inc, in: Economics of the Family: Marriage, Children, and Human Capital, pages 432-456 National Bureau of Economic Research, Inc.
  55. Piatek, Rémi & Pinger, Pia R., 2010. "Maintaining (locus of) control? Assessing the impact of locus of control on education decisions and wages," ZEW Discussion Papers, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research 10-093, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  56. Leibowitz, Arleen, 1974. "Home Investments in Children," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 82(2), pages S111-S131, Part II, .
  57. R. Bock & Murray Aitkin, 1981. "Marginal maximum likelihood estimation of item parameters: Application of an EM algorithm," Psychometrika, Springer, Springer, vol. 46(4), pages 443-459, December.
Full references (including those not matched with items on IDEAS)

Citations

Blog mentions

As found by EconAcademics.org, the blog aggregator for Economics research:
  1. Weekly Wisdom Roundup # 57 (Weeklong Reading For The Smarter People)
    by Miguel in Simoleon Sense on 2009-12-21 02:39:20
  2. Non-cognitive skills
    by Kevin Denny in Geary Behaviour Centre on 2009-12-20 16:05:00
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Hussey, Andrew, 2011. "The effect of ethics on labor market success: Evidence from MBAs," Journal of Economic Behavior & Organization, Elsevier, Elsevier, vol. 80(1), pages 168-180.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:mag:wpaper:09037. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Guido Henkel).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.