Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/67168 
Year of Publication: 
2012
Series/Report no.: 
IZA Discussion Papers No. 6985
Publisher: 
Institute for the Study of Labor (IZA), Bonn
Abstract: 
We use a random effects dynamic probit model to estimate the effect of overskilling dynamics on wages. We find that overskilling mismatch is common and more likely among those who have been overskilled in the past. It is also highly persistent, in a manner that is inversely related to educational level. Yet, the wages of university graduates are reduced more by past overskilling, than for any other education level. A possible reason for this wage effect is that graduates tend to be in better-paid jobs and therefore there is more at stake for them if they get it wrong.
Subjects: 
mismatch
overskilling
wages
panel dynamic estimation
JEL: 
J24
J31
Document Type: 
Working Paper

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