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Measuring Occupational Mismatch: Overeducation and Overskill in Europe—Evidence from PIAAC

Author

Listed:
  • Sara Flisi

    () (European Commission – Joint Research Centre)

  • Valentina Goglio

    () (European Commission – Joint Research Centre)

  • Elena Claudia Meroni

    () (European Commission – Joint Research Centre)

  • Margarida Rodrigues

    () (German Federal Employment Agency (BA))

  • Esperanza Vera-Toscano

    () (European Commission – Joint Research Centre)

Abstract

Abstract Occupational mismatch has been a hot topic in the economics literature in recent decades; however, no consensus has been reached on how to conceptualise and measure this phenomenon. We explore the unique opportunity offered by the PIAAC survey to measure occupational mismatch at the individual level based on both education- (overeducation) and skill-based (overskilling) variables by using both objective and subjective measures. For this purpose, we use data on 17 European countries and compute up to 20 different indicators of occupational mismatch. We find that the conceptualisation and measurement of occupational mismatch are indeed important and that education and skill mismatch do not measure the same phenomenon. In fact, only a small percentage of mismatched individuals are mismatched with respect to both education and skill, whereas the majority are mismatched with respect to either education or skill only. At the country level, we find a negative correlation between the incidence of education and skill mismatch, which has important implications for policies aiming to address this labour market inefficiency.

Suggested Citation

  • Sara Flisi & Valentina Goglio & Elena Claudia Meroni & Margarida Rodrigues & Esperanza Vera-Toscano, 2017. "Measuring Occupational Mismatch: Overeducation and Overskill in Europe—Evidence from PIAAC," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 131(3), pages 1211-1249, April.
  • Handle: RePEc:spr:soinre:v:131:y:2017:i:3:d:10.1007_s11205-016-1292-7
    DOI: 10.1007/s11205-016-1292-7
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Valentina Meliciani & Debora Radicchia, 2016. "Overeducation and overskill in the Italian labour market: the role of fields of study," Working Papers 33, Birkbeck Centre for Innovation Management Research, revised Jul 2016.
    2. Esperanza Vera-Toscano & Elena Claudia Meroni, 2016. "A descriptive analysis of the evolution of occupational mismatch in Europe," JRC Working Papers JRC103228, Joint Research Centre (Seville site).
    3. repec:sos:sosjrn:180313 is not listed on IDEAS
    4. Gaeta, Giuseppe Lucio & Lubrano Lavadera, Giuseppe & Pastore, Francesco, 2018. "Overeducation wage penalty among Ph.D. holders. An unconditional quantile regression analysis on Italian data," GLO Discussion Paper Series 180, Global Labor Organization (GLO).
    5. Tran, Tuyen Quang & Hung Pham, Hiep & Thi Vo, Hoa & Thuy Luu, Hong & Mai Nguyen, Huong, 2019. "Local governance, education and occupation-education mismatch: Heterogeneous effects on wages in a lower middle income economy," International Journal of Educational Development, Elsevier, vol. 71(C).
    6. Inmaculada García-Mainar & Víctor M. Montuenga-Gómez, 2020. "Over-Qualification and the Dimensions of Job Satisfaction," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 147(2), pages 591-620, January.
    7. Barbara Ermini & Luca Papi & Francesca Scaturro, 2017. "An Analysis of the Determinants of Over-Education Among Italian Ph.D Graduates," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 3(2), pages 167-207, July.
    8. Igna, Ioana A., 2018. "The effects of educational mismatch on inventor productivity. Evidence from Sweden, 2003-2010," Papers in Innovation Studies 2018/8, Lund University, CIRCLE - Center for Innovation, Research and Competences in the Learning Economy.
    9. Kracke, Nancy & Reichelt, Malte & Vicari, Basha, 2017. "Wage losses due to overqualification: The role of formal degrees and occupational skills," IAB Discussion Paper 201710, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    10. Muñoz de Bustillo, Rafael & Sarkar, Sudipa & Sebastián, Raquel & Antón, José-Ignacio, 2018. "Education mismatch in Europe at the turn of the century: Measurement, intensity and evolution," MPRA Paper 85779, University Library of Munich, Germany.

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