Overeducation in the early career of secondary education graduates : an analysis using sequence techniques
Faculty of Applied Economics
, p. 336-356
University of Antwerp
Based on monthly observations of their employment and overeducation status in the first seven years after leaving education, we use optimal matching sequence analysis to construct a typology of entry patterns of Flemish secondary education graduates. We find that for a significant number of young people, overeducation constitutes a persistent problem, affecting about half of the sample for nearly the full observation period. Investigating the risk factors shows factors, such as, having lower human capital endowments or facing job search constraints enhancing the risk of following disadvantageous trajectories. A lower reservation wage seems to make being persistently overeducated more likely. Yet, starting as overeducated' does not necessarily lead to being stuck as overeducated in the rest of the career. About 7 per cent of our sample succeeds in entering an adequate position even after being overeducated for a relatively long period.