[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/a/eee/ecoedu/v29y2010i4p650-657.html
   My bibliography  Save this article

The economic returns to field of study and competencies among higher education graduates in Ireland

Author

Listed:
  • Kelly, Elish
  • O'Connell, Philip J.
  • Smyth, Emer
Abstract
This paper looks at the economic returns to different fields of study in Ireland in 2004 and also the value placed on various job-related competencies, accumulated on completion of higher education, in the Irish labour market. In examining these issues, the paper also analyses, through quantile regression, how the returns vary across the earnings distribution. The impact that education-job mismatch, both education level and field, has on earnings is also taken into consideration. The results derived indicate that, relative to the base case, there are higher returns to Medicine & Veterinary, Education, Engineering & Architecture, Science and Computers & IT. Small but significant returns were found for some of the competencies analysed, in particular technical skills. The quantile regression analysis reveals that both field and competency returns vary across the wage distribution and that, apart from Medicine & Veterinary and technical skills, field and competency-specific returns diminish as one moves up the earnings distribution.

Suggested Citation

  • Kelly, Elish & O'Connell, Philip J. & Smyth, Emer, 2010. "The economic returns to field of study and competencies among higher education graduates in Ireland," Economics of Education Review, Elsevier, vol. 29(4), pages 650-657, August.
    • Handle: RePEc:eee:ecoedu:v:29:y:2010:i:4:p:650-657
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0272-7757(09)00141-1
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Ana I Moro-Egido & Santiago Budría, "undated". "Overeducation and Wages in Europe: Evidence from Quantile Regression," Studies on the Spanish Economy 229, FEDEA.
    2. Jacob A. Mincer, 1974. "Introduction to "Schooling, Experience, and Earnings"," NBER Chapters, in: Schooling, Experience, and Earnings, pages 1-4, National Bureau of Economic Research, Inc.
    3. Blundell, Richard, et al, 2000. "The Returns to Higher Education in Britain: Evidence from a British Cohort," Economic Journal, Royal Economic Society, vol. 110(461), pages 82-99, February.
    4. Kelly, Elish & McGuinness, Seamus & O'Connell, Philip J., 2009. "The Public-Private Sector Pay Gap in Ireland: What Lies Beneath?," Papers WP321, Economic and Social Research Institute (ESRI).
    5. Dolton, Peter & Vignoles, Anna, 2000. "The incidence and effects of overeducation in the U.K. graduate labour market," Economics of Education Review, Elsevier, vol. 19(2), pages 179-198, April.
    6. O'Leary, Nigel C. & Sloane, Peter J., 2005. "The Return to a University Education in Great Britain," National Institute Economic Review, National Institute of Economic and Social Research, vol. 193, pages 75-89, July.
    7. Arcidiacono, Peter, 2004. "Ability sorting and the returns to college major," Journal of Econometrics, Elsevier, vol. 121(1-2), pages 343-375.
    8. Jacob A. Mincer, 1974. "Schooling, Experience, and Earnings," NBER Books, National Bureau of Economic Research, Inc, number minc74-1.
    9. Altonji, Joseph G, 1993. "The Demand for and Return to Education When Education Outcomes Are Uncertain," Journal of Labor Economics, University of Chicago Press, vol. 11(1), pages 48-83, January.
    10. Jeff Grogger & Eric Eide, 1995. "Changes in College Skills and the Rise in the College Wage Premium," Journal of Human Resources, University of Wisconsin Press, vol. 30(2), pages 280-310.
    11. Finnie, Ross & Frenette, Marc, 2003. "Earning differences by major field of study: evidence from three cohorts of recent Canadian graduates," Economics of Education Review, Elsevier, vol. 22(2), pages 179-192, April.
    12. O'Connell, Philip J. & Russell, Helen, 2006. "Does it Pay to Go Public? Public/Private Wage Differences among Recent Graduates in Ireland," Quarterly Economic Commentary: Special Articles, Economic and Social Research Institute (ESRI), vol. 2006(3-Autumn), pages 64-79.
    13. James, Estelle, et al, 1989. "College Quality and Future Earnings: Where Should You Send Your Child to College?," American Economic Review, American Economic Association, vol. 79(2), pages 247-252, May.
    14. Rumberger, Russell W. & Thomas, Scott L., 1993. "The economic returns to college major, quality and performance: A multilevel analysis of recent graduates," Economics of Education Review, Elsevier, vol. 12(1), pages 1-19, March.
    15. Robst, John, 2007. "Education and job match: The relatedness of college major and work," Economics of Education Review, Elsevier, vol. 26(4), pages 397-407, August.
    16. Buchinsky, Moshe, 1994. "Changes in the U.S. Wage Structure 1963-1987: Application of Quantile Regression," Econometrica, Econometric Society, vol. 62(2), pages 405-458, March.
    17. McGuinness, Seamus & Bennett, Jessica, 2007. "Overeducation in the graduate labour market: A quantile regression approach," Economics of Education Review, Elsevier, vol. 26(5), pages 521-531, October.
    18. Seamus McGuinness, 2003. "University quality and labour market outcomes," Applied Economics, Taylor & Francis Journals, vol. 35(18), pages 1943-1955.
    19. Thomas N. Daymonti & Paul J. Andrisani, 1984. "Job Preferences, College Major, and the Gender Gap in Earnings," Journal of Human Resources, University of Wisconsin Press, vol. 19(3), pages 408-428.
    20. Jacob A. Mincer, 1974. "Schooling and Earnings," NBER Chapters, in: Schooling, Experience, and Earnings, pages 41-63, National Bureau of Economic Research, Inc.
    21. S. Mcguinness, 2003. "Graduate overeducation as a sheepskin effect: evidence from Northern Ireland," Applied Economics, Taylor & Francis Journals, vol. 35(5), pages 597-608.
    22. W. Norton Grubb, 1993. "The Varied Economic Returns to Postsecondary Education: New Evidence from the Class of 1972," Journal of Human Resources, University of Wisconsin Press, vol. 28(2), pages 365-382.
    23. Russell W. Rumberger, 1980. "The Economic Decline of College Graduates: Fact or Fallacy?," Journal of Human Resources, University of Wisconsin Press, vol. 15(1), pages 99-112.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lehouelleur, Sophie & Beblavý, Miroslav & Maselli,Ilaria, 2015. "How returns from tertiary education differ by field of study: Implications for policy-makers and students," CEPS Papers 10835, Centre for European Policy Studies.
    2. Arcidiacono, Peter & Hotz, V. Joseph & Kang, Songman, 2012. "Modeling college major choices using elicited measures of expectations and counterfactuals," Journal of Econometrics, Elsevier, vol. 166(1), pages 3-16.
    3. repec:lic:licosd:31412 is not listed on IDEAS
    4. Livanos, Ilias & Pouliakas, Konstantinos, 2008. "Returns to education by academic discipline in the Greek labour market," MPRA Paper 14159, University Library of Munich, Germany.
    5. Aina, Carmen & Casalone, Giorgia, 2020. "Early labor market outcomes of university graduates: Does time to degree matter?," Socio-Economic Planning Sciences, Elsevier, vol. 71(C).
    6. Elisa Rose Birch & Ian Li & Paul W. Miller, 2009. "The Influences of Institution Attended and Field of Study on Graduates' Starting Salaries," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 42(1), pages 42-63, March.
    7. Joseph G. Altonji & Peter Arcidiacono & Arnaud Maurel, 2015. "The Analysis of Field Choice in College and Graduate School: Determinants and Wage Effects," NBER Working Papers 21655, National Bureau of Economic Research, Inc.
    8. Berlingieri, Francesco & Zierahn, Ulrich, 2014. "Field of study, qualification mismatch, and wages: Does sorting matter?," ZEW Discussion Papers 14-076, ZEW - Leibniz Centre for European Economic Research.
    9. Heijke, J.A.M. & Meng, C.M., 2006. "The effects of higher education programme characteristics on allocation and performance of the graduates: a European view," ROA Research Memorandum 4E, Maastricht University, Research Centre for Education and the Labour Market (ROA).
    10. Michela Vecchi & Maja Savic & Marina Romiti, 2021. "Skill mismatch among UK graduates," Economic Statistics Centre of Excellence (ESCoE) Discussion Papers ESCoE DP-2021-11, Economic Statistics Centre of Excellence (ESCoE).
    11. Krzysztof Kalisiak & Małgorzata Szreder & Kaja Białowąs, 2011. "Finansowy i niefinansowy zwrot z edukacji," Gospodarka Narodowa. The Polish Journal of Economics, Warsaw School of Economics, issue 9, pages 77-102.
    12. Khan, Bilal Muhammad, 2019. "Education Occupation Mismatch in Developing countries," MPRA Paper 92324, University Library of Munich, Germany.
    13. Light, Audrey & Schreiner, Sydney, 2019. "College major, college coursework, and post-college wages," Economics of Education Review, Elsevier, vol. 73(C).
    14. Ralph Stinebrickner & Todd R. Stinebrickner, 2014. "A Major in Science? Initial Beliefs and Final Outcomes for College Major and Dropout," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 81(1), pages 426-472.
    15. L. Cattani & G. Guidetti & G. Pedrini, 2014. "Assessing the incidence and wage effects of overeducation among Italian graduates using a new measure for educational requirements," Working Papers wp939, Dipartimento Scienze Economiche, Universita' di Bologna.
    16. Paolo Buonanno & Dario Pozzoli, 2009. "Early Labour Market Returns to College Subject," LABOUR, CEIS, vol. 23(4), pages 559-588, December.
    17. Rodney J. Andrews & Scott A. Imberman & Michael F. Lovenheim, 2017. "Risky Business? The Effect of Majoring in Business on Earnings and Educational Attainment," NBER Working Papers 23575, National Bureau of Economic Research, Inc.
    18. Thomas Lemieux, 2014. "Occupations, fields of study and returns to education," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 47(4), pages 1047-1077, November.
    19. Colm Harmon & Hessel Oosterbeek, 2000. "The Returns to Education: A Review of Evidence, Issues and Deficiencies in the Literature," CEE Discussion Papers 0005, Centre for the Economics of Education, LSE.
    20. Hakkinen, Iida, 2006. "Working while enrolled in a university: does it pay?," Labour Economics, Elsevier, vol. 13(2), pages 167-189, April.
    21. Maarten Goos & Melanie Arntz & Ulrich Zierahn & Terry Gregory & Stephanie Carretero Gomez & Ignacio Gonzalez Vazquez & Koen Jonkers, 2019. "The Impact of Technological Innovation on the Future of Work," JRC Working Papers on Labour, Education and Technology 2019-03, Joint Research Centre.

    More about this item

    Keywords

    Field of study Competencies Returns to education Quantile regression;

    JEL classification:

    • I20 - Health, Education, and Welfare - - Education - - - General
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecoedu:v:29:y:2010:i:4:p:650-657. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/econedurev .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.