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Ability Matters: Effects of Youth Labor‐Market Opportunities on Long‐Term Labor‐Market Outcomes

Ability Matters: Effects of Youth Labor‐Market Opportunities on Long‐Term Labor‐Market Outcomes Utilizing registry data from cognitive ability tests for all Norwegian males born between 1962 and 1973, I study whether labor‐market conditions at the age of graduation have differential effects on earnings and employment for different ability groups. I find that low‐ability males are more vulnerable to local business cycles at the expected time of labor‐market entry. In particular, I demonstrate that low‐ability males suffer larger long‐term earnings losses than the rest of the population. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png The Scandinavian Journal of Economics Wiley

Ability Matters: Effects of Youth Labor‐Market Opportunities on Long‐Term Labor‐Market Outcomes

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References (56)

Publisher
Wiley
Copyright
© 2018 The editors of The Scandinavian Journal of Economics.
ISSN
0347-0520
eISSN
1467-9442
DOI
10.1111/sjoe.12248
Publisher site
See Article on Publisher Site

Abstract

Utilizing registry data from cognitive ability tests for all Norwegian males born between 1962 and 1973, I study whether labor‐market conditions at the age of graduation have differential effects on earnings and employment for different ability groups. I find that low‐ability males are more vulnerable to local business cycles at the expected time of labor‐market entry. In particular, I demonstrate that low‐ability males suffer larger long‐term earnings losses than the rest of the population.

Journal

The Scandinavian Journal of EconomicsWiley

Published: Jan 1, 2018

Keywords: ; ;

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