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Overeducation in the early career: an analysis using sequence techniques

Author

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  • Verhaest, Dieter

    (Hogeschool-Universiteit Brussel (HUB), Belgium)

  • Schatteman, Tom

    (Faculty of Applied Economics, Department of Economics, University of Antwerp)

Abstract

We follow a sample of Flemish school leavers from secondary education and investigate their first seven years on the labour market by means of optimal matching sequence analysis. It is found that overeduca-tion can be a years-long trouble. About 30 to 40% stayed overeducated for nearly the full first seven years after labour market entry. Another 15 tot 25% combined overeducation with long periods of joblessness or stayed out of work for almost the full observation period. Risk factors to enter some of these disadvan-tageous trajectories are, amongst others, being female, having a non-Western background, having lower study results or living in a rural municipality. Finally, overeducation is also associated with low psychological well-being, particularly if it is preceded by a "good match" period or longer periods of joblessness. Nevertheless, that overeducation not should be a problem for the full career is illustrated by the 7% school leavers who were overeducated for a rather long period prior to find ultimately a good match.

Suggested Citation

  • Verhaest, Dieter & Schatteman, Tom, 2010. "Overeducation in the early career: an analysis using sequence techniques," Working Papers 2010/09, Hogeschool-Universiteit Brussel, Faculteit Economie en Management.
  • Handle: RePEc:hub:wpecon:201009
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    References listed on IDEAS

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    More about this item

    Keywords

    Overqualification; mismatch; underemployment; careers; unemployment; optimal matching;
    All these keywords.

    JEL classification:

    • C19 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Other
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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