The mismatch earnings penalty

Chiara Cavaglia, Lindsey Macmillan, Konstantina Maragkou, Richard Murphy and Gill Wyness

CVER Research Papers from Centre for Vocational Education Research

Abstract: We disentangle the relationship between student ability, course quality and the match between the two on earnings, estimating the first mismatch parameter in the literature. Using administrative data on all state-educated students in England linked to tax records, we show that high ability students attending low quality courses earn significantly less than their well-matched counterparts. By contrast, we find no evidence that lower ability students that overmatch to high quality courses go on to earn any less than well-matched students. This is evidence that affirmative action does not appear to have a detrimental effect on students' future earnings.

Keywords: mismatch; higher education; further education; returns (search for similar items in EconPapers)
Date: 2024-11-11
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