Article Green Open Access 2019

HORIZONTAL MISMATCH BETWEEN EMPLOYMENT AND FIELD OF EDUCATION: EVIDENCE FROM A SYSTEMATIC LITERATURE REVIEW

Journal of Economic Surveys
Journal · Vol. 33 · Issue 2 · pp. 567-603
Abstract

This paper provides a systematic review of the growing literature on the poor match between employees’ field degree and the job requirements, also referred to as horizontal mismatch. We identify the different definitions used in the literature and find that each measure of horizontal mismatch yields substantially different incidence rates. We discuss the validity of the different measures and conclude that a more uniform definition of horizontal mismatch is needed. The likelihood of horizontal mismatch is among other things determined by the extent to which employees possess general skills as opposed to occupation-specific skills, and, it appears to be more frequently present among older workers. Compared to well-matched employees, horizontally mismatched workers generally incur a wage penalty, are less satisfied with their jobs, and are more likely to regret their study programme. The ensuing findings offer guidance to prevent horizontal mismatch as well as a roadmap for future research. © 2018 John Wiley & Sons Ltd.

Keywords

Author Keywords

Skills education Mismatch Occupation labour

Index Keywords

Employment occupation skilled labor literature review labor market educational attainment wage gap future prospect
Author Affiliations
Top Institute for Evidence Based Education Research, Universiteit Maastricht, Maastricht, Limburg, Netherlands
Top Institute for Evidence Based Education Research (TIER), Universiteit van Amsterdam, Amsterdam, Noord-Holland, Netherlands
Funding & Acknowledgements
Grant: 2014-533
Funding text 1: Dataset from the US National Science Foundation (NSF): National Survey of College Graduates (NSCG) - cross-section - 2003; Funding text 2: This study was supported by Stichting Instituut Gak (Grant 2014-533). Stichting Instituut Gak was not involved in the preparation of the paper. This paper benefitted from discussions with participants of the XXV Meeting of the Economics of Education Association.
National Science Foundation, NSF
Funding text 1: Dataset from the US National Science Foundation (NSF): National Survey of College Graduates (NSCG) - cross-section - 2003; Funding text 2: This study was supported by Stichting Instituut Gak (Grant 2014-533). Stichting Instituut Gak was not involved in the preparation of the paper. This paper benefitted from discussions with participants of the XXV Meeting of the Economics of Education Association.
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