Skills, Degrees and Labor Market Inequality. EdWorkingPaper No. 21-431
Saved in:
| Title: | Skills, Degrees and Labor Market Inequality. EdWorkingPaper No. 21-431 |
|---|---|
| Language: | English |
| Authors: | Peter Q. Blair, Papia Debroy, Justin Heck, Annenberg Institute for School Reform at Brown University |
| Source: | Annenberg Institute for School Reform at Brown University. 2021. |
| Availability: | Annenberg Institute for School Reform at Brown University. Brown University Box 1985, Providence, RI 02912. Tel: 401-863-7990; Fax: 401-863-1290; e-mail: annenberg@brown.edu; Web site: https://annenberg.brown.edu/ |
| Peer Reviewed: | N |
| Page Count: | 47 |
| Publication Date: | 2021 |
| Document Type: | Reports - Research |
| Education Level: | Higher Education Postsecondary Education High Schools Secondary Education |
| Descriptors: | Salary Wage Differentials, Bachelors Degrees, High School Graduates, Work Experience, Skill Development, Academic Degrees, Labor Market, Equal Opportunities (Jobs), Job Skills, Occupational Information, Employment Level, Educational Status Comparison, On the Job Training, Human Capital, Skilled Workers, Nontraditional Education, Differences |
| Abstract: | Over the past four decades, income inequality grew significantly between workers with bachelor's degrees and those with high school diplomas (often called "unskilled"). Rather than being unskilled, we argue that these workers are STARs because they are skilled through alternative routes--namely their work experience. Using the skill requirements of a worker's current job as a proxy of their actual skill, we find that though both groups of workers make transitions to occupations requiring similar skills to their previous occupations, workers with bachelor's degrees have dramatically better access to higher wage occupations where the skill requirements exceed the workers' observed skill. This measured opportunity gap offers a fresh explanation of income inequality by degree status and reestablishes the important role of on-the-job-training in human capital formation. |
| Abstractor: | As Provided |
| Entry Date: | 2025 |
| Accession Number: | ED671900 |
| Database: | ERIC |
| Abstract: | Over the past four decades, income inequality grew significantly between workers with bachelor's degrees and those with high school diplomas (often called "unskilled"). Rather than being unskilled, we argue that these workers are STARs because they are skilled through alternative routes--namely their work experience. Using the skill requirements of a worker's current job as a proxy of their actual skill, we find that though both groups of workers make transitions to occupations requiring similar skills to their previous occupations, workers with bachelor's degrees have dramatically better access to higher wage occupations where the skill requirements exceed the workers' observed skill. This measured opportunity gap offers a fresh explanation of income inequality by degree status and reestablishes the important role of on-the-job-training in human capital formation. |
|---|
