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Labor market outcomes, cognitive skills, and noncognitive skills in rural China

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  • Glewwe, Paul
  • Song, Yang
  • Zou, Xianqiang

Abstract

A growing literature studies how cognitive and noncognitive skills influence labor market outcomes. This paper examines the relationship between childhood cognitive and noncognitive skills and labor market outcomes, using a rich longitudinal data set from rural China to overcome simultaneity concerns. We find that childhood cognitive skills have strong explanatory power for the wages of adults in their late 20s, even after controlling for years of education. We also find gender differences in the returns to various noncognitive skills, including internalizing and externalizing behavior. Females are penalized for externalizing behavior while males are rewarded, suggesting the role of gender norms in the labor market.

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  • Glewwe, Paul & Song, Yang & Zou, Xianqiang, 2022. "Labor market outcomes, cognitive skills, and noncognitive skills in rural China," Journal of Economic Behavior & Organization, Elsevier, vol. 193(C), pages 294-311.
    • Handle: RePEc:eee:jeborg:v:193:y:2022:i:c:p:294-311
    DOI: 10.1016/j.jebo.2021.11.021
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    2. Justine Herve & Helene Purcell & Subha Mani, 2023. "Conscientiousness Matters: How does Personality affect Labor Market Outcomes?," Fordham Economics Discussion Paper Series dp2023-05er:dp2023-05, Fordham University, Department of Economics.

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    More about this item

    Keywords

    Cognitive skills; Noncognitive skills; Labor market returns; China; Gender differences;
    All these keywords.

    JEL classification:

    • I25 - Health, Education, and Welfare - - Education - - - Education and Economic Development
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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