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Overeducation, regional labor markets, and spatial flexibility
Authors:Felix Büchel  Maarten van Ham
Institution:a Max Planck Institute for Human Development, Lentzeallee 94, D-14195, Berlin, Germany;b Faculty of Economics, Technical University of Berlin, Berlin, Germany;c Department of Political and Social Sciences, Free University of Berlin, Berlin, Germany;d Department of Longitudinal Data and Microanalysis, German Institute for Economic Research DIW, Berlin, Germany;e IZA Bonn, Germany;f Department of Geography and Planning, University of Amsterdam, Amsterdam Study Center for the Metropolitan Environment (AME), Nieuwe Prinsengracht 130, 1018VZ, Amsterdam, The Netherlands
Abstract:For most workers, access to suitable employment is severely restricted by the fact that they look for jobs in the regional labor market rather than the global one. In this paper we analyze how macrolevel opportunities (regional market characteristics) and microlevel restrictions (the extent to which job searchers are restricted to the regional market) can help to explain the phenomenon of overeducation. We use a two-step procedure to control selective access to employment. The results show that the size of the labor market is an important factor in avoiding overeducation.
Keywords:Overeducation  Job search  Spatial flexibility
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