Articlebronze2010

AN ECONOMIC ANALYSIS OF IDENTITY AND CAREER CHOICE*

Maria Knoth Humlum · Kristin J. Kleinjans · Helena Skyt Nielsen

74 citations0/0 files storedEconomic Inquiry

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Career Development and Diversity Labor market dynamics and wage inequality Intergenerational and Educational Inequality Studies

Abstract

Standard economic models tend to be more specific about pecuniary payoffs than nonpecuniary payoffs to education. Based on the ideas of Akerlof and Kranton, we consider a model of career choice and identity where individuals derive nonpecuniary identity payoffs. Using factor analysis on a range of attitude questions, we find two factors related to identity (career orientation and social orientation), which are important for planned educational choices and for observed gender differences. The implication is that policy makers and institutions of higher education need to focus on identity‐related issues rather than just improved financial incentives if they aim at attracting high‐ability youths to certain careers. (JEL I21, J24)

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References

2000Economics and Identity*1965Human Capital. A Theoretical and Empirical Analysis, with Special Reference to Education 1964Human Capital: A Theoretical and Empirical Analysis, with Special Reference to Education 2000Identity Theory and Social Identity Theory 1995A Tale of Two Theories: A Critical Comparison of Identity Theory with Social Identity Theory 1995Horizontal and Vertical Dimensions of Individualism and Collectivism: A Theoretical and Measurement Refinement 1997Not just for the money: an economic theory of personal motivation 1967Human Capital, A Theoretical and Empirical Analysis with Special Reference to Education

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