Returns to job satisfaction in the presence of horizontal mismatch

Qi Ge, Eun Jung Jordan, Myongjin Kim and Leilei Shen ()

Applied Economics, 2020, vol. 52, issue 27, 2913-2930

Abstract: In this paper, we study the relationship among horizontal mismatch, job satisfaction and wages using data from the 2013 Scientists and Engineers Statistical Data System (SESTAT). Estimates from 2SLS indicate that 1) field-occupation match in the highest degree has a positive effect on job satisfaction and wages; and 2) controlling for field-occupation matches, job satisfaction has a positive but diminishing effect on wages with a large heterogeneity across different age groups. In addition, we also distinguish between job satisfaction arising from benefits and job satisfaction that is productivity enhancing and find both to have a positive but nonlinear effect on wages.

Date: 2020
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DOI: 10.1080/00036846.2019.1696941

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