Occupational Mismatch and Social Networks

Horváth, Gergely

doi:10.2139/ssrn.1794082

Cited by 15 publications

(18 citation statements)

References 7 publications

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“…However, immigrants who have better contacts with co-ethnic groups may also have a positive 5 See Granovetter (1973), Granovetter (1983) and Montgomery (1991). 6 Similar results were found by Horváth (2014) and Griesshaber and Seibel (2015), who found that personal networks and social participation leads to lower levels of over-education.…”

Section: Social Capital and The Labour Marketsupporting

confidence: 64%

Social networks and the labour market mismatch

Kalfa

Piracha

2017

J Popul Econ

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. The Institute for the Study of Labor (IZA) in Bonn is a local and virtual international research center and a place of communication between science, politics and business. IZA is an independent nonprofit organization supported by Deutsche Post Foundation. The center is associated with the University of Bonn and offers a stimulating research environment through its international network, workshops and conferences, data service, project support, research visits and doctoral program. IZA engages in (i) original and internationally competitive research in all fields of labor economics, (ii) development of policy concepts, and (iii) dissemination of research results and concepts to the interested public. Terms of use: Documents in D I S C U S S I O N P A P E R S E R I E S Social Networks and the Labour Market MismatchIZA Discussion Papers often represent preliminary work and are circulated to encourage discussion. Citation of such a paper should account for its provisional character. A revised version may be available directly from the author. This paper assesses the extent to which social contacts and ethnic concentration affect the education-occupation mismatch of natives and immigrants. Using Australian panel data and employing a dynamic random effects probit model, we show that social capital exacerbates the incidence of over-education, particularly for females. Furthermore, for the foreign-born, ethnic concentration significantly increases the incidence of over-education. Using an alternative index, we also show that social participation, friends and support and ethnic concentration are the main contributors in generating a mismatch, while reciprocity and trust does not seem to have any effect on over-education for both, immigrants and natives. Finally, we show that social networks are more beneficial for the relatively better educated.JEL Classification: F22, J61, Z13

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Section: Social Capital and The Labour Marketsupporting

confidence: 64%

Social networks and the labour market mismatch

Kalfa

Piracha

2017

J Popul Econ

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“…For example, the strength-of-strong-ties argument implies that, because strong ties are motivated to help the job seeker, job seekers should benefit from searching through strong ties (e.g., Granovetter 1983: 209-213). However, we might also expect that contacts who are in the same occupation, industry, or geographic area, or those who are homophilous with the job seeker on work-relevant attributes, should lead to better job-market outcomes than formal methods (Granovetter 1974;Mouw 2003;Cingano and Rosolia 2008;Horvath 2011;McDonald 2011). While the literature implies that the distinction between a contact's motivation and his relevance is important, we lack a systematic model of how these characteristics of contacts relate to job-search outcomes.…”

Section: Introductionmentioning

confidence: 99%

Motivation vs. relevance: Using strong ties to find a job in Urban China

Obukhova¹

2012

Social Science Research

109

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While the idea that contacts matter in finding a job is intuitively appealing, we still do not know-after decades of research-how and why strong ties benefit job seekers. To resolve this confusion, we need to theorize how specific characteristics of ties are related to the mechanisms that make job search through contacts effective. We have reasons to expect that, while a contact's motivation influences the likelihood that a job seeker receives an offer, her homophily with the job seeker on occupation and other job-relevant attributes influences the quality of the offer. The use of strong ties among university students to find jobs in China provides a unique opportunity to empirically isolate the relationship between contact characteristics and the mechanisms through which contacts benefit the job seeker. I tested my hypotheses with data on both the successful and unsuccessful job searches of 478 graduates of China's flagship universities, who, as first-time job seekers, primarily used strong ties. Survey results are consistent with my hypotheses: Job seekers who used strong ties to look for jobs had more offers-but not better offers-than those who used only formal methods.

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“…Thus it is natural to ask whether the network channel of job search contributes to the high levels of occupational mismatch. From a theoretical perspective, Bentolila et al (2010) and Horvath (2014b) show that social networks with weak homophily may generate more mismatch compared to the formal channel of search.…”

Section: Introductionmentioning

confidence: 99%

“…They are Bentolila et al (2010) and Horvath (2014b). Bentolila et al (2010) report that social networks and referrals can generate a mismatch between the occupational choice of the worker and his/her acquired qualification.…”

Section: Introductionmentioning

confidence: 99%

On the Puzzle of Diversification in Social Networks with Occupational Mismatch

Zaharieva

2015

SSRN Journal

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Occupational Mismatch and Social Networks

Cited by 15 publications

References 7 publications

Social networks and the labour market mismatch

Social networks and the labour market mismatch

Motivation vs. relevance: Using strong ties to find a job in Urban China

On the Puzzle of Diversification in Social Networks with Occupational Mismatch

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