scholarly journals Labor market performance of dropouts: the role of personality

2014 ◽  
Vol 41 (3) ◽  
pp. 453-468
Author(s):  
Jutta Viinikainen ◽  
Katja Kokko ◽  
Lea Pulkkinen ◽  
Jaakko Pehkonen

Purpose – The purpose of this paper is to provide evidence on labor market careers of dropouts with various levels of education. Design/methodology/approach – The paper compares the labor market careers of dropouts and non-dropouts between ages 15 and 50 by using longitudinal data. The paper analyses how the results change when the authors control for differences in personality characteristics. Findings – The paper finds that dropping out diminishes one's success in the labor market but this connection is reduced when the model is augmented with personality. Dropouts seem to have or lack certain personality characteristics that are associated with labor market success. These findings suggest that dropping out is either an adverse signal of non-cognitive skills and, thus, work performance and productivity, or personality characteristics are related to preferences toward career and work orientation, or both. Originality/value – The paper analyses how the impact of dropping out on labor market outcomes changes when differences in personality characteristics are taken into account. The broad definition enables us to investigate how dropping out in general is related to labor market success.

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Gabriella Kuráth ◽  
Norbert Sipos

PurposeThe purpose of this paper is to show the effects of the six competence areas of Garcia-Aracil and Van der Velden (2007) on new graduates' labor market success measured by salary.Design/methodology/approachThe paper starts with a literature review about the role of competencies in higher education. Then the Graduate Career Tracking System (GCTS) carried out at the University of Pécs (UP) in Hungary provides a good basis to understand the competence assessment methodology better. Furthermore, GCTS is suitable for carrying out an exploratory, a confirmatory factor analysis and an OLS regression to discover the connection between competencies and level of income.FindingsThe analyzed results, using a representative online survey based on 6,190 respondents, show that the six competence sets do exist, but that not all of them have a significant effect on salaries. With the control variables involved, 24.3% (EFA) and 23.0% (CFA) of the global competencies account for variance in salaries. The impact of methodological and the socioemotional set on salaries can be clearly seen among those with new degrees, and based on the results and the literature review, the HEIs can improve them.Research limitations/implicationsIn the absence of nationwide general competence assessment, the results are limited only for the UP graduates of Hungary, even if this HEI is one of the biggest ones.Practical implicationsBased on the results, more soft-competence development courses and opportunities should be offered by the HEIs.Originality/valueThe findings of the study help us to understand the role of the institutions in tertiary education, the extra service to be provided to assist students in being successful in life. Based on the literature review, there is a need to understand better the connection between competencies and labor market success. This paper contributes to this and also presents an opportunity for further comparative research. The sample is robust to allow other researchers to use this conceptual model and apply it to other countries.


2021 ◽  
Author(s):  
Chhavi Tiwari ◽  
Srinivas Goli ◽  
Anu Rammohan

We use nationally representative data from two waves of the Indian Human Development Surveyto provide causal evidence on the role of inter-temporal changes in fertility behaviour ininfluencing female labor market outcomes. Our multivariate regression estimates show that anincrease in the number of children reduces labor force participation and earnings. We furtherinvestigated the impact of fertility changes on transitions from the labor market. The results showthat women who had more than three children in both rounds of the survey had a 3.5 percentagepoints higher probability of exiting from the labor market. Disaggregated analyses by caste,economic status and region show regional heterogeneity, and the probability of dropping-out ofthe labor market due to fertility changes is greater for non-poor women and those from sociallydisadvantaged castes.


2017 ◽  
Vol 6 (3) ◽  
pp. 385-395
Author(s):  
Richard Cebula ◽  
James E. Payne ◽  
Donnie Horner ◽  
Robert Boylan

Purpose The purpose of this paper is to examine the impact of labor market freedom on state-level cost of living differentials in the USA using cross-sectional data for 2016 after allowing for the impacts of economic and quality of life factors. Design/methodology/approach The study uses two-stage least squares estimation controlling for factors contributing to cost of living differences across states. Findings The results reveal that an increase in labor market freedom reduces the overall cost of living. Research limitations/implications The study can be extended using panel data and alternative measures of labor market freedom. Practical implications In general, the finding that less intrusive government and greater labor freedom are associated with a reduced cost of living should not be surprising. This is because less government intrusion and greater labor freedom both inherently allow markets to be more efficient in the rationalization of and interplay with forces of supply and demand. Social implications The findings of this and future related studies could prove very useful to policy makers and entrepreneurs, as well as small business owners and public corporations of all sizes – particularly those considering either location in, relocation to, or expansion into other markets within the USA. Furthermore, the potential benefits of the National Right-to-Work Law currently under consideration in Congress could add cost of living reductions to the debate. Originality/value The authors extend the literature on cost of living differentials by investigating whether higher amounts of state-level labor market freedom act to reduce the states’ cost of living using the most recent annual data available (2016). That labor freedom has a systemic efficiency impact on the state-level cost of living is a significant finding. In our opinion, it is likely that labor market freedom is increasing the efficiency of labor market transactions in the production and distribution of goods and services, and acts to reduce the cost of living in states. In addition, unlike previous related studies, the authors investigate the impact of not only overall labor market freedom on the state-level cost of living, but also how the three sub-indices of labor market freedom, as identified and measured by Stansel et al. (2014, 2015), impact the cost of living state by state.


2010 ◽  
Vol 8 (3) ◽  
pp. 309-319 ◽  
Author(s):  
Maarten Lindeboom ◽  
Petter Lundborg ◽  
Bas van der Klaauw

Author(s):  
Юлія Цевух ◽  
Вікторія Бобришева ◽  
Аліса Крупиця

The article presents the results of the study of the main trends of the labor market in Central and Eastern Europe during 2010-2021; it also investigates selected labour market outcomes affecting migration processes in Bulgaria, Czech Republic, Estonia, Latvia, Lithuania, Romania, Poland, Slovak Republic, Slovenia, and Hungary. Using econometric modeling, the impact of GDP per capita, annual net earnings per employee, job vacancy rate, unemployment rate on the number of emigrants from these CEE countries was estimated. It is followed by the analysis which controls for dependence of the number of immigrants to CEE countries on labor market outcomes and GDP per capita. The simulation results demonstrate a direct impact of the indicators of net earnings per worker, the level of unemployment and quantity of emigrants from CEE countries. At the same time, there is a direct relationship between job vacancy rate, net earnings and immigration into Bulgaria, Czech Republic, Estonia, Latvia, Lithuania, Romania, Poland, Slovak Republic, Slovenia, and Hungary.


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