2020
DOI: 10.1108/ijm-08-2019-0379
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Wage premia for skills: the complementarity of cognitive and non-cognitive skills

Abstract: PurposeThe main purpose of this paper is to assess the degree of complementarity between cognitive skills and non-cognitive skills, and to evaluate their joint impact on individual wages.Design/methodology/approachThe author uses a survey representative of the Polish working-age population with well-established measures of cognitive and non-cognitive skills.FindingsNon-cognitive skills are important in the labour market, not only as separate factors that influence wages, but as complements to cognitive skills.… Show more

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Cited by 12 publications
(18 citation statements)
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References 61 publications
(111 reference statements)
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“…This is consistent with the expectations of economics theory that cognitive and noncognitive abilities are complements [ 2 , 61 ], so that under the premise that individuals are uncertain about their own ability, higher self-esteem enhances one’s effort toward achieving goals and ultimately leads to better outcomes [ 62 ]. Earlier empirical research has provided evidence that there is a strong positive relationship between non-cognitive abilities (i.e., self-esteem) and cognitive skills development (i.e., academic outcomes).…”
Section: Discussionsupporting
confidence: 80%
“…This is consistent with the expectations of economics theory that cognitive and noncognitive abilities are complements [ 2 , 61 ], so that under the premise that individuals are uncertain about their own ability, higher self-esteem enhances one’s effort toward achieving goals and ultimately leads to better outcomes [ 62 ]. Earlier empirical research has provided evidence that there is a strong positive relationship between non-cognitive abilities (i.e., self-esteem) and cognitive skills development (i.e., academic outcomes).…”
Section: Discussionsupporting
confidence: 80%
“…These findings are consistent with the results concerning the Polish labor market described in this paper. In the Polish literature, self-reported items representing non-cognitive skills to some extent close to soft skills were analyzed by Palczyńska (2018) who also found significant relationships between personal traits, cognitive skills and wages.…”
Section: Discussionmentioning
confidence: 99%
“…They find that recruiters preferred more open and conscientious applicants for analytic tasks, and more open, extraverted and agreeable employees for interactive tasks. Finally, using employee data from Poland, Palczyńska (2021) shows a complementarity between cognitive and noncognitive skills, that is, the more neurotic an individual is, the lower their returns to cognitive skills.…”
Section: Previous Research and Hypothesesmentioning
confidence: 99%