scholarly journals School-to-Work Linkages, Educational Mismatches, and Labor Market Outcomes

2019 ◽  
Author(s):  
Thijs Bol ◽  
Christina Ciocca Eller ◽  
Herman Gerbert van de Werfhorst ◽  
Thomas Albert DiPrete
Keyword(s):  
Labor Market ◽  
Institutional Environment ◽  
Labor Market Outcomes ◽  
The United States ◽  
School To Work ◽  
Educational Systems ◽  
Industrialized Countries ◽  
Market Outcomes ◽  
Flexible Labor ◽  
Educational Degree

A recurring question in public and scientific debates is whether occupation-specific skills enhance labor market outcomes. Is it beneficial to have an educational degree that is linked to only one or a small set of occupations? To answer this question, we generalize existing models of the effects of (mis)match between education and occupation on labor market outcomes. Specifically, we incorporate the structural effects of linkage strength between school and work, which vary considerably across industrialized countries. In an analysis of France, Germany, and the United States, we find that workers have higher earnings when they are in occupations that match their educational level and field of study, but the size of this earnings boost depends on the clarity and strength of the pathway between their educational credential and the labor market. The earnings premium associated with a good occupational match is larger in countries where the credential has a stronger link to the labor market, but the penalty for a mismatch is also greater in such countries. Moreover, strong linkage reduces unemployment risk. These findings add nuance to often-made arguments that countries with loosely structured educational systems have more flexible labor markets and produce better labor market outcomes for workers. An institutional environment that promotes strong school-to-work pathways appears to be an effective strategy for providing workers with secure, well-paying jobs.

scholarly journals School-to-Work Linkages, Educational Mismatches, and Labor Market Outcomes

2019 ◽  
Vol 84 (2) ◽  
pp. 275-307 ◽  
Author(s):  
Thijs Bol ◽  
Christina Ciocca Eller ◽  
Herman G. van de Werfhorst ◽  
Thomas A. DiPrete
Keyword(s):  
Labor Market ◽  
Institutional Environment ◽  
Labor Market Outcomes ◽  
The United States ◽  
School To Work ◽  
Educational Systems ◽  
Industrialized Countries ◽  
Market Outcomes ◽  
Flexible Labor ◽  
Educational Degree

A recurring question in public and scientific debates is whether occupation-specific skills enhance labor market outcomes. Is it beneficial to have an educational degree that is linked to only one or a small set of occupations? To answer this question, we generalize existing models of the effects of (mis)match between education and occupation on labor market outcomes. Specifically, we incorporate the structural effects of linkage strength between school and work, which vary considerably across industrialized countries. In an analysis of France, Germany, and the United States, we find that workers have higher earnings when they are in occupations that match their educational level and field of study, but the size of this earnings boost depends on the clarity and strength of the pathway between their educational credential and the labor market. The earnings premium associated with a good occupational match is larger in countries where the credential has a stronger link to the labor market, but the penalty for a mismatch is also greater in such countries. Moreover, strong linkage reduces unemployment risk. These findings add nuance to often-made arguments that countries with loosely structured educational systems have more flexible labor markets and produce better labor market outcomes for workers. An institutional environment that promotes strong school-to-work pathways appears to be an effective strategy for providing workers with secure, well-paying jobs.

scholarly journals Coordinated Markets, School-to-Work Linkages, and Labor Market Outcomes in the European Union

2020 ◽  
Author(s):  
Thomas Albert DiPrete ◽  
Joanna Chae
Keyword(s):  
Labor Market ◽  
Educational Outcomes ◽  
Tertiary Education ◽  
Level Structure ◽  
Labor Market Outcomes ◽  
School To Work ◽  
The European Union ◽  
Market Outcomes ◽  
Skill Formation ◽  
The Impact

A large literature in both sociology and political science has theorized about the importance of skill formation systems for macroeconomic performance, for the transition from school to work, and for labor market outcomes. However, consensus on how countries fit into these theoretical groupings has been difficult, and empirical evidence that these groupings matter has been elusive. Focusing on labor market outcomes across twenty-one European countries, this paper demonstrates that the strength of linkage between specific educational outcomes and occupational destinations is an important source of these institutional effects. Stronger linkage is generally associated with higher relative earnings and greater chances of employment, though heterogeneity exists both across age and gender groupings and across educational levels. Country-level structure matters because it is related to the local linkage strength of pathways, even as there is considerable heterogeneity within countries in the coherence of pathways from educational outcomes to occupations. Pathway effects clearly matter, particularly in how they shape the consequences of working in an occupation that is well matched to one's educational level and field of study. The strongest evidence for macro-structural effects concerns the impact of macro-structure on the earnings gap between well-matched and not-well matched workers with non-tertiary and with upper tertiary education. The findings suggest that policies to improve labor market outcomes do not require wholesale transformations of a country's skill formation system, but instead can focus on improving pathway coherence one pathway at a time.

Immigration and Labor Market Outcomes in U.S. Metropolitan Areas

2019 ◽  
Vol 63 (4) ◽  
pp. 630-652
Author(s):  
Allen Hyde ◽  
Michael Wallace
Keyword(s):  
Labor Market ◽  
Labor Markets ◽  
Labor Market Outcomes ◽  
Economic Restructuring ◽  
The United States ◽  
Earnings Inequality ◽  
Demand Side ◽  
Least Squares Regression ◽  
Market Outcomes ◽  
The Relationship

Two broad orientations have motivated scholarship on the relationship between immigration and labor market outcomes in the United States. The first, the supply-side perspective, often focuses on how immigration affects a variety of outcomes such as unemployment, casualization, and earnings inequality. The second, the demand-side perspective, generally contends that these labor market outcomes result mainly from economic restructuring that subsequently attracts immigrants to labor markets. Previous studies have often reached divergent conclusions due to differing assumptions about the direction of causality in these relationships. In this paper, we use three-stage least squares regression, a technique that allows for nonrecursive relationships, to adjudicate the direction of causality between immigration and labor market outcomes. Using 2010 data for 366 U.S. metropolitan statistical areas, we find support for the demand-side perspective, or that economic restructuring results in higher unemployment, casualization, and earnings inequality, which subsequently increases levels of immigration in metropolitan labor markets.

scholarly journals Returns to Late Aged College Degrees

2018 ◽  
Vol 3 (5) ◽  
Author(s):  
Sally Wallace ◽  
Thomas Mroz ◽  
Alex Hathaway
Keyword(s):  
Labor Market ◽  
Labor Force ◽  
Labor Market Outcomes ◽  
College Education ◽  
State Level ◽  
The United States ◽  
Bachelor's Degree ◽  
Older Individuals ◽  
Market Outcomes ◽  
Individual Level

The benefits of a college education are well documented. However, the majority of existing research focuses on students who matriculate soon after high school graduation. There is little empirical evidence illustrating whether a college degree is similarly beneficial to those already in the workforce, particularly individuals over 50. Nonetheless, the coming years will see the dramatic growth of older individuals, many of whom will continue to be active in the labor force, and policymakers would benefit from effective strategies to improve the labor market outcomes of older individuals. This research proposes to evaluate the labor market outcomes of individuals in Georgia who obtain a bachelor’s degree at age 50 or older by merging state-level individual level labor force (Dpt of Labor) with individual level educational data from the University System of Georgia (USG). Specifically, we explore whether these later-age degrees result in employment opportunities with higher wages and increased retention in the labor force beyond the traditional retirement age of 65 than those who do not attain a bachelor’s degree.  The results will provide policymakers across the United States with information to make informed decisions regarding higher education incentives and policies for older students.

scholarly journals Double Burden of Disability and Poverty: Does Vocational Rehabilitation Ease the School‐to‐Work Transition?

2021 ◽  
Vol 9 (4) ◽  
pp. 92-102
Author(s):  
Nancy Reims ◽  
Silke Tophoven
Keyword(s):  
Labor Market ◽  
Young People ◽  
Vocational Rehabilitation ◽  
Labor Market Outcomes ◽  
School To Work ◽  
Market Outcomes ◽  
Double Burden ◽  
Vocational Qualification ◽  
Poor Households ◽  
Degree Of Disability

Poor young people more often face health difficulties, (learning) disabilities, and are overrepresented in special schools. Consequently, youth from poor households disproportionately frequently participate in disability‐specific programs aiming to improve their educational levels and labor market opportunities. They face a double burden of disability and poverty. In our study, we look at poor and non‐poor youth with disabilities (YPWD) who participate in vocational rehabilitation (VR) and whether VR helps them (a) in transitioning into employment and (b) in leaving poverty. We examine the association between the receipt of initial basic income support (BIS) as a poverty indicator, later labor market outcomes, and earned vocational qualification using administrative data. We make use of a sample of all persons accepted for VR in 2010 (N = 36,645). We employ logit models on VR attendees’ labor market outcomes three and five years after being accepted for VR as well as on their earned vocational qualifications. Beside initial poverty status, we control for educational level, type, and degree of disability and program pattern during the VR process. Our findings show that YPWD from poor households have a decreased likelihood of a vocational certificate and employment. Additionally, they are more likely to receive BIS than young people not from poor households and thus more likely to remain poor. In conclusion, VR seems to support poor YPWD less in their school‐to‐work transitions. Thus, disability‐specific programs should be more tailored to the social situations of participants, and counsellors should be more sensitive to their social backgrounds.

Labor Market Outcomes of Immigrant Women in the United States: 1970 to 1990

1998 ◽  
Vol 32 (1) ◽  
pp. 57-77 ◽  
Author(s):  
Robert F. Schoeni
Keyword(s):  
United States ◽  
Labor Market ◽  
Wage Gap ◽  
Immigrant Women ◽  
Labor Market Outcomes ◽  
The United States ◽  
The Philippines ◽  
Market Outcomes ◽  
The United Kingdom ◽  
Almost All

Forty-two percent of immigrant workers in the United States are women, yet almost all of the evidence on the economic performance of immigrants is based on analyses of men. This study begins to fill the void by examining differences in a wide array of labor market outcomes between U.S.-born and immigrant women, and among immigrant women born in different countries or regions of the world, using the 1970, 1980 and 1990 censuses. Immigrant women were less likely to participate in the labor force, and this gap increased to 7 percentage points by 1990. However, the share of self-employed and the number of weeks and hours worked among employed women were roughly the same for immigrants and natives throughout the 1970–1990 period. The gap in unemployment and weekly wages widened in favor of natives between 1970 and 1990, with a gap in median wages of 14 percent in 1990. However, immigrants born in the United Kingdom and Canada, Europe, Japan, Korea, China, the Philippines, and the Middle East have had steady or improved wages and unemployment relative to U.S.-born women. At the same time, immigrants from Mexico and Central America, who now represent one-quarter of all immigrant women, have experienced relatively high unemployment and low earnings, and these differences have increased, with the wage gap reaching 35 percent in 1990. Disparities in completed years of schooling can explain a substantial share of the differences in labor market outcomes.

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