Education–occupation mismatch : Is there an income penalty?

• This paper adds to the sparse literature on the consequences of education–occupation mismatches. It examines the income penalty for field of education–occupation mismatches for men and women with higher education degrees in Sweden and reveals that the penalty for such mismatches is large for both men and women. For mismatched men the income penalty is about twice as large as that found for US men, whereas for women the penalty is of about the same size as for US women. Controlling for cognitive ability further establishes that the income penalty is not caused by a sorting by ability, at least for Swedish men. The income penalty for men decreases with work experience, which is an indication that education-specific skills and work experience are substitutes to some extent.

Subject headings

SAMHÄLLSVETENSKAP  -- Ekonomi och näringsliv -- Nationalekonomi (hsv//swe)

SOCIAL SCIENCES  -- Economics and Business -- Economics (hsv//eng)

SAMHÄLLSVETENSKAP  -- Ekonomi och näringsliv -- Ekonomisk historia (hsv//swe)

SOCIAL SCIENCES  -- Economics and Business -- Economic History (hsv//eng)

Keyword

Human capital

Rate of return

Salary wage differentials

Educational economics

Economics

Nationalekonomi

Economics

Nationalekonomi

Salary wage differentials

Educational economics

Rate of return

Human capital

Publication and Content Type

ref (subject category)

art (subject category)