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The role of cognitive and socio-emotional skills in labor markets

Author

Listed:
  • Pablo Acosta

    (World Bank, USA, and IZA, Germany)

  • Noel Muller

    (World Bank, USA)

Abstract

Common proxies, such as years of education, have been shown to be ineffective at capturing cross-country differences in skills acquisition, as well as the role they play in the labor market. A large body of research shows that direct measures of skills, in particular cognitive and socio-emotional ones, provide more adequate estimations of individuals’ differences in potential productive capacity than the quantity of education they receive. Evidence shows that cognitive skills in particular are quite relevant to explain wages, while socio-emotional skills are more associated with labor force and education participation decisions.

Suggested Citation

  • Pablo Acosta & Noel Muller, 2018. "The role of cognitive and socio-emotional skills in labor markets," IZA World of Labor, Institute of Labor Economics (IZA), pages 453-453, October.
    • Handle: RePEc:iza:izawol:journl:2018:n:453
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    References listed on IDEAS

    as
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    4. Acosta, Pablo A. & Muller, Noel & Sarzosa, Miguel, 2015. "Beyond Qualifications: Returns to Cognitive and Socio-Emotional Skills in Colombia," IZA Discussion Papers 9403, Institute of Labor Economics (IZA).
    5. Carmit Segal, 2013. "Misbehavior, Education, And Labor Market Outcomes," Journal of the European Economic Association, European Economic Association, vol. 11(4), pages 743-779, August.
    6. James J. Heckman & Jora Stixrud & Sergio Urzua, 2006. "The Effects of Cognitive and Noncognitive Abilities on Labor Market Outcomes and Social Behavior," Journal of Labor Economics, University of Chicago Press, vol. 24(3), pages 411-482, July.
    7. Fletcher, Jason M., 2013. "The effects of personality traits on adult labor market outcomes: Evidence from siblings," Journal of Economic Behavior & Organization, Elsevier, vol. 89(C), pages 122-135.
    8. Almlund, Mathilde & Duckworth, Angela Lee & Heckman, James & Kautz, Tim, 2011. "Personality Psychology and Economics," Handbook of the Economics of Education, in: Erik Hanushek & Stephen Machin & Ludger Woessmann (ed.), Handbook of the Economics of Education, edition 1, volume 4, chapter 0, pages 1-181, Elsevier.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Maria Cinque & Stephanie Carretero & Joanna Napierala, 2021. "Non-cognitive skills and other related concepts: towards a better understanding of similarities and differences," JRC Working Papers on Labour, Education and Technology 2021-09, Joint Research Centre.
    2. Santos,Indhira Vanessa & Petroska-Beska,Violeta & Amaro Da Costa Luz Carneiro,Pedro Manuel & Eskreis-Winkler,Lauren & Munoz Boudet,Ana Maria & Berniell,Ines & Krekel,Christian & Arias,Omar & Duckworth, 2021. "Can Grit Be Taught ? Lessons from a Nationwide Field Experiment with Middle-School Students," Policy Research Working Paper Series 9831, The World Bank.

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    More about this item

    Keywords

    returns to skills; cognitive skills; socio-emotional skills; personality traits; labor market outcomes;
    All these keywords.

    JEL classification:

    • 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
    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality

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