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Overeducation Dynamics and Personality

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  • Blázquez, Maite

    (Departamento de Análisis Económico (Teoría e Historia Económica). Universidad Autónoma de Madrid.)

  • Budría, Santiago

    (University of Madeira and CEEAplA.)

Abstract

We use the 2000-2008 waves of the German Socioeconomic Panel to examine overeducation transitions. The results are based on a first-order Markov model that allows us to account for both the initial conditions problem and for potential endogeneity in attrition. We find that overeducation dynamics, especially the probability of entering overeducation, is significantly influenced by personality. Notwithstanding theses differences associated with individual heterogeneity, still there appears to be considerable overeducation persistence. Almost 18% of the overeducation risk is due to individual state dependence, i.e., the fact of having been overeducated in the previous year.

Suggested Citation

  • Blázquez, Maite & Budría, Santiago, 2011. "Overeducation Dynamics and Personality," Working Papers in Economic Theory 2011/05, Universidad Autónoma de Madrid (Spain), Department of Economic Analysis (Economic Theory and Economic History).
  • Handle: RePEc:uam:wpaper:201105
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    Cited by:

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    2. Bonacini, Luca & Gallo, Giovanni & Scicchitano, Sergio, 2021. "Sometimes you cannot make it on your own. How household background influences chances of success in Italy," GLO Discussion Paper Series 832, Global Labor Organization (GLO).
    3. 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.
    4. Christina Boll & Julian Sebastian Leppin & Klaus Schömann, 2016. "Who is overeducated and why? Probit and dynamic mixed multinomial logit analyses of vertical mismatch in East and West Germany," Education Economics, Taylor & Francis Journals, vol. 24(6), pages 639-662, November.

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    More about this item

    Keywords

    Overeducation dynamics; trivariate probit model; personality traits.;
    All these keywords.

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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