Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/110105 
Year of Publication: 
2015
Series/Report no.: 
IZA Discussion Papers No. 8885
Publisher: 
Institute for the Study of Labor (IZA), Bonn
Abstract: 
The authors provide first evidence on whether the direct relationship between educational mismatch and firm productivity varies across working environments. Using detailed Belgian linked employer-employee panel data for 1999-2010, they find the existence of a significant, positive (negative) impact of over- (under-)education on firm productivity. Moreover, their results show that the effect of over-education on productivity is stronger among firms: (i) with a higher share of high-skilled jobs, (ii) belonging to high-tech/knowledge-intensive industries, and (iii) evolving in a more uncertain economic environment. Interaction effects between under-education and working environments are less clear-cut. However, economic uncertainty is systematically found to accentuate the detrimental effect of under-education on productivity.
Subjects: 
educational mismatch
productivity
linked employer-employee panel data
working environments
JEL: 
J21
J24
Document Type: 
Working Paper

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