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Formal education, mismatch and wages after transition: Assessing the impact of unobserved heterogeneity using matching estimators

Ana Lamo and Julian Messina

No 1215, Working Paper Series from European Central Bank

Abstract: This paper studies the incidence and consequences of the mismatch between formal education and the educational requirements of jobs in Estonia during the years 1997-2003. We find large wage penalties associated with the phenomenon of educational mismatch. Moreover, the incidence and wage penalty of mismatches increase with age. This suggests that structural educational mismatches can occur after fast transition periods. Our results are robust for various methodologies, and more importantly regarding departures from the exogeneity assumptions inherent in the matching estimators used in our analysis. JEL Classification: J0

Keywords: Education mismatch; Matching Estimators; wage determination (search for similar items in EconPapers)
Date: 2010-06
New Economics Papers: this item is included in nep-edu, nep-lab and nep-tra
Note: 337346
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (23)

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Journal Article: Formal education, mismatch and wages after transition: Assessing the impact of unobserved heterogeneity using matching estimators (2010) Downloads
Working Paper: Formal Education, Mismatch and Wages after Transition: Assessing the Impact of Unobserved Heterogeneity Using Matching Estimators (2010) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:ecb:ecbwps:20101215

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