The Consequences of Being Different: Statistical Discrimination and the School-to-Work Transition

Müller, Barbara; Wolter, Stefan C. (2011). The Consequences of Being Different: Statistical Discrimination and the School-to-Work Transition (IZA Discussion Paper Series 5474). Bonn: Forschungsinstitut zur Zukunft der Arbeit (IZA)

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When information about the true abilities of job-seekers and applicants are hard to get, statistical discrimination by employers can be an efficient strategy in the hiring and wage setting process. But statistical discrimination can induce costs, if labor relations cannot be terminated in the short term and wages are fixed over a certain period. In this paper we use a unique longitudinal survey that follows the PISA 2000 students in their educational and worklife career. We test whether deviance in the PISA test scores from what one would have predicted based on observable characteristics, influences the probability to succeed in the transition from compulsory school into a firm-based apprenticeship and whether it can explain differences of the individual performances during training. Our results suggest that hard-toget information plays a significant role in the transition, but not always in a symmetric manner.

Item Type:

Working Paper

Division/Institute:

03 Faculty of Business, Economics and Social Sciences > Social Sciences > Institute of Sociology

UniBE Contributor:

Müller, Barbara and Wolter, Stefan

Subjects:

300 Social sciences, sociology & anthropology

ISSN:

2365-9793

Series:

IZA Discussion Paper Series

Publisher:

Forschungsinstitut zur Zukunft der Arbeit (IZA)

Projects:

[1036] Transitions from Education to Employment (TREE) Official URL

Language:

English

Submitter:

Thomas Meyer

Date Deposited:

29 Oct 2019 10:55

Last Modified:

29 Oct 2019 11:02

Related URLs:

Uncontrolled Keywords:

statistical discrimination school-to-work transition PISA

JEL Classification:

I2, J24, J71

BORIS DOI:

10.7892/boris.131008

URI:

https://boris.unibe.ch/id/eprint/131008

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