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Interpersonal Styles and Labor Market Outcomes

  • Weinberg, Bruce A.

    ()

    (Ohio State University and NBER)

  • Borghans, Lex

    ()

    (ROA, University of Maastricht)

  • Weel, Bas ter

    ()

    (UNU-MERIT)

This paper develops a framework to understand the role of interpersonal interactions in the labor market including task assignment and wages. Effective interpersonal interactions involve caring, to establish cooperation, and at the same time directness, to communicate in an unambiguous way. The ability to perform these tasks varies with personality and the importance of these tasks varies across jobs. An assignment model shows that people are most productive in jobs that match their style and earn less when they have to shift to other jobs. An oversupply of one attribute relative to the other reduces wages for people who are better with the attribute in greater supply. We present evidence that youth sociability affects job assignment in adulthood. The returns to interpersonal interactions are consistent with the assignment model.

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File URL: http://www.merit.unu.edu/publications/wppdf/2006/wp2006-045.pdf
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Paper provided by United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT) in its series MERIT Working Papers with number 045.

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Date of creation: 2006
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Handle: RePEc:unm:unumer:2006045
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  1. 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.
  2. Ivar Ekeland & James J. Heckman & Lars Nesheim, 2004. "Identification and Estimation of Hedonic Models," Journal of Political Economy, University of Chicago Press, vol. 112(S1), pages S60-S109, February.
  3. Carmit Segal, 2006. "Motivation, test scores and economic success," Economics Working Papers 1124, Department of Economics and Business, Universitat Pompeu Fabra, revised Oct 2008.
  4. Alexandra Spitz-Oener, 2006. "Technical Change, Job Tasks, and Rising Educational Demands: Looking outside the Wage Structure," Journal of Labor Economics, University of Chicago Press, vol. 24(2), pages 235-270, April.
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  8. Kuhn, Peter & Weinberger, Catherine, 2003. "Leadership Skills and Wages," University of California at Santa Barbara, Economics Working Paper Series qt50q3c9n1, Department of Economics, UC Santa Barbara.
  9. Flavio Cunha & James J. Heckman, 2008. "Formulating, Identifying and Estimating the Technology of Cognitive and Noncognitive Skill Formation," Journal of Human Resources, University of Wisconsin Press, vol. 43(4).
  10. Gerrit Mueller & Erik Plug, 2004. "Estimating the Effect of Personality on Male-Female Earnings," Tinbergen Institute Discussion Papers 04-087/3, Tinbergen Institute, revised 31 Aug 2005.
  11. Robert H. Frank & Thomas Gilovich & Dennis T. Regan, 1993. "Does Studying Economics Inhibit Cooperation?," Journal of Economic Perspectives, American Economic Association, vol. 7(2), pages 159-171, Spring.
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  13. Dora L. Costa & Matthew E. Kahn, 2003. "Cowards And Heroes: Group Loyalty In The American Civil War," The Quarterly Journal of Economics, MIT Press, vol. 118(2), pages 519-548, May.
  14. Randall K. Filer, 1983. "Sexual Differences in Earnings: The Role of Individual Personalities and Tastes," Journal of Human Resources, University of Wisconsin Press, vol. 18(1), pages 82-99.
  15. Borghans Lex & Meijers Huub & Weel Bas ter, 2006. "The Role of Noncognitive Skills in Explaining Cognitive Test Scores," ROA Research Memorandum 006, Maastricht University, Research Centre for Education and the Labour Market (ROA).
  16. Cunha, Flavio & Heckman, James J. & Lochner, Lance John & Masterov, Dimitriy V., 2005. "Interpreting the Evidence on Life Cycle Skill Formation," IZA Discussion Papers 1675, Institute for the Study of Labor (IZA).
  17. Ortmann, Andreas & Tichy, Lisa K., 1999. "Gender differences in the laboratory: evidence from prisoner's dilemma games," Journal of Economic Behavior & Organization, Elsevier, vol. 39(3), pages 327-339, July.
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  19. Sattinger, Michael, 1993. "Assignment Models of the Distribution of Earnings," Journal of Economic Literature, American Economic Association, vol. 31(2), pages 831-80, June.
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