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University Admission and the Similarity of Fields of Study: Effects on Earnings and Skill Usage

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  • Daly, Moira
  • Jensen, Mathias Fjællegaard
  • le Maire, Daniel

Abstract

Using discontinuities from the Danish college enrollment system, we find that students who are marginally accepted into their preferred program in a broad field that is different from their next-best choice (e.g., business rather than science) experience significant and long-lasting rewards as a result. In contrast, students whose preferred and next-best programs lie within the same broad field do not. Exploiting data from online job postings, we find that the estimated effects on skill usage similarly vary according to the degree of similarity between preferred and next-best choices.

Suggested Citation

  • Daly, Moira & Jensen, Mathias Fjællegaard & le Maire, Daniel, 2022. "University Admission and the Similarity of Fields of Study: Effects on Earnings and Skill Usage," Labour Economics, Elsevier, vol. 75(C).
    • Handle: RePEc:eee:labeco:v:75:y:2022:i:c:s0927537122000112
    DOI: 10.1016/j.labeco.2022.102118
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    References listed on IDEAS

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    Cited by:

    1. Berlingieri, Francesco & Diegmann, André & Sprietsma, Maresa, 2023. "Preferred field of study and academic performance," Economics of Education Review, Elsevier, vol. 95(C).
    2. Omar Bamieh & Andrea Cintolesi & Mario Pagliero, 2024. "Estimating the returns to occupational licensing: evidence from regression discontinuities at the bar exam," Temi di discussione (Economic working papers) 1440, Bank of Italy, Economic Research and International Relations Area.

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    More about this item

    Keywords

    Field of study; earnings; skills; online job postings; regression discontinuity;
    All these keywords.

    JEL classification:

    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • I26 - Health, Education, and Welfare - - Education - - - Returns to Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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