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Overeducation wage penalty among Ph.D. holders. An unconditional quantile regression analysis on Italian data

Giuseppe Lucio Gaeta, Giuseppe Lubrano Lavadera and Francesco Pastore ()

No 180, GLO Discussion Paper Series from Global Labor Organization (GLO)

Abstract: The wage effect of overeducation has only recently been investigated in the case of Ph.D. holders. The existing contributions rely on OLS estimates that allow measuring the average effect of being educationally mismatched at the mean of the conditional wage distribution. This paper, instead, observes the heterogeneity of the overeducation penalty along the hourly wage distribution and according to the study field and sector of employment (academic/non-academic) of Ph.D. holders. We estimate a Recentered Influence Function. The results reveal that overeducation hits the wages of those Ph.D. holders who are employed in the academic sector and in non-R&D jobs outside of the academic sector. Instead, no penalty exists among those who carry out R&D outside the Academia. The size of the penalty is higher among those who are in the mid-top of the wage distribution and hold a Social Science and Humanities specialization.

Keywords: Job-education mismatch; Overeducation; Wages; Ph.D. holders; Unconditional quantile regression; Italy (search for similar items in EconPapers)
JEL-codes: C26 I23 I26 J13 J24 J28 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-eur, nep-lma and nep-ltv
Date: 2018
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