Educational qualifications mismatch in Europe. Is it demand or supply driven?

Ghignoni, Emanuela and Verashchagina, Alina (2012) Educational qualifications mismatch in Europe. Is it demand or supply driven? Working Paper. Dipartimento di Economia e Diritto Sapienza Università di Roma, Roma.

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Most papers dealing with individual overeducation risks focus on labour supply characteristics and workers behaviour. On the other hand, only few studies consider labour demand characteristics and technological change. In this paper we analyse the influence of both demand and supply factors on educational mismatch in a set of ten European countries. Our hypothesis, confirmed by results obtained using ordered probit model with sample selection, is that demand factors generally play major role in reducing educational mismatch in technologically more advanced countries, whereas supply factors are more important in countries that are lagging behind in the international division of labour. At the same time, important cross-country and gender differences have been identified in the way the demand/supply factors operate. All this calls for the fine-tuning of policies aimed to tackle the problem of educational mismatch. Apparently, EPL does not appear neither to hinder technological development, nor increase overeducation.

Item Type: Monograph (Working Paper)
Additional Information: JEL classification: I2, J24, C35
Uncontrolled Keywords: Educational mismatch; Overeducation; Undereducation; Demand; Supply; Ordered Probit
Subjects: 300 Scienze sociali > 330 Economia
Depositing User: Dipartimento economia e diritto
Date Deposited: 22 Oct 2013 09:25
Last Modified: 22 Oct 2013 09:25

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