Do Fields of Study Matter for Over-education?

Abstract

Resorting to European Labor Force Survey 2003—2005 data and controlling for factors traditionally accounting for over-education, we demonstrate here that fields of study influence the odds of being overeducated in Spain and in Germany. Being more stratified than the Spanish system of education, the German one uses fields of study as a signaling device for the labor market to a lesser extent than Spanish one. Cross-country similarities in terms of the relative position of fields of study within the country are discussed. Two samples have been researched: a general sample with information about individuals' fields of study as well as a restricted sample with additional information individuals' parental ISEI score, when such information was available. Heckman selection modeling has been applied to the latter (restricted) sample. A new technique has been devised to measure over-education, relying on ISCED categories instead of years of education.

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