Educational mismatches versus skill mismatches: effects on wages, job satisfaction, and on-the-job search |
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| Authors: | Allen, Jim van der Velden, Rolf |
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| Affiliation: | Research Centre for Education and the Labour Market, University of Maastricht, Postbus 616, 6200 MD Maastricht, The Netherlands. J.Allen{at}ROA.UNIMAAS.NL
Research Centre for Education and the Labour Market, University of Maastricht |
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| Abstract: | Education-job mismatches are reported to have serious effectson wages and other labour market outcomes. Such results areoften cited in support of assignment theory, but can also beexplained by institutional and human capital models. To testthe assignment explanation, we examine the relation betweeneducational mismatches and skill mismatches. In line with earlierresearch, educational mismatches affect wages strongly. Contraryto the assumptions of assignment theory, this effect is notexplained by skill mismatches. Conversely, skill mismatchesare much better predictors of job satisfaction and on-the-jobsearch than are educational mismatches. |
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