Post-Migration Education Among Refugees in the Netherlands

Refugees face significant barriers in the labor markets of western countries due to limited transferability of educational credentials. Post-migration education can increase refugees’ chances in the labor market, but little is known about the prevalence and underlying patterns of such post-secondary educational investments. I contribute to the literature by analyzing survey data from the Netherlands on post-migration education among more than 3,000 adult refugees who come from Afghanistan, Iran, Iraq, former Yugoslavia, and Somalia. I find that refugees’ investments in schooling depend on both pre- and post-migration characteristics. Results show that post-migration schooling is more common among adult refugees who are higher educated, who arrived at a younger age, who have applied for recognition of their foreign education, and who have (successfully) participated in integration and/or language courses. When refugees are kept in an asylum center for a longer time, they are less likely to invest in post-migration education.

Moral Universalism: Measurement and Economic Relevance

Many applied economic settings involve trade-offs between in-group members and strangers. To better understand decision making in these contexts, this paper measures and investigates the economic relevance of heterogeneity in moral universalism: the extent to which people exhibit the same level of altruism and trust toward strangers as toward in-group members. We first introduce a new experimentally validated, survey-based measure of moral universalism that is simple and easily scalable. We then deploy this tool in a large, representative sample of the U.S. population to study heterogeneity and economic relevance. We find that universalism is a relatively stable trait at the individual level. In exploratory analyses, heterogeneity in universalism is significantly related to observables: Older people, men, the rich, the rural, and the religious exhibit less universalist preferences and beliefs. Linking variation in universalism to self-reports of economic and social behaviors, we document the following correlations. Universalists donate less money locally, but more globally, and are less likely to exhibit home bias in equity and educational investments. In terms of social networks, universalists have fewer friends, spend less time with them, and feel more lonely. These results provide a blueprint for measuring moral universalism in applied settings and suggest that variation in universalism is relevant for understanding a myriad of economic behaviors. This paper was accepted by Yan Chen, behavioral economics and decision analysis.

A note on pessimism in education and its economic consequences

Investigating interaction of the lumpy nature of educational investments and informational frictions on returns to and costs of education, I show that pessimistic beliefs can be self-confirmed in equilibrium. Among some of its consequences, I argue that the commonly pursued research methods may not always identify the true underlying skill distributions.

Education–Occupation Mismatch and Its Wage Penalties in Informal Employment in Thailand

This study examines the incidence of vertical mismatch among formal and informal workers in Thailand. Using the 2011, 2013, and 2015 Thailand Household Socio-economic Surveys, the study analyzes the relationship between vertical mismatch and wage penalties and premiums across four types of workers: formal government, formal private firm, informal private firm, and informal own-account workers. The incidence of overeducation is modest among the oldest cohort (8.7%) but prevalent among the youngest cohort (29.3%). Government employees face the highest overeducation wage penalties (28.2%) compared to matched workers, while in private firms, informal workers have consistently higher overeducation wage penalties than formal workers. Educated young workers are increasingly absorbed into low-skill informal work in private firms and face large overeducation wage penalties. The inability of many young workers to capitalize on their educational investments in Thailand's formal labor market is a concern for future education and employment policy development in Thailand.

Labour market transitions after layoffs: the role of occupational skills

We study the role of occupational skills for labour market transitions after layoffs. Drawing on Lazear’s skill-weights approach, we develop empirical measures for occupational specificity and the skill distance between occupations to investigate how skills map into job mobility and wages. Our analysis reveals several important insights. First, higher occupational specificity is associated with lower job mobility and a longer period of unemployment. However, it is also associated with higher wages. Workers receive a wage premium of about 9% for re-employment in a one standard deviation more specific occupation. These results suggest a risk–return trade-off to educational investments into more specific skills. Second, the skill distance is negatively associated with wages. Workers moving between occupations with similar skill requirements suffer smaller wage losses than those with more distant moves. Thus, skills appear to be transferable across occupations and to play a pivotal role in the determination of wages.