Interpersonal Styles and Labor Market Outcomes

Borghans, Lex, ter Weel, Bas and Weinberg, Bruce A. (2006). Interpersonal Styles and Labor Market Outcomes. UNU-MERIT.

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  • Sub-type Working paper
    Author Borghans, Lex
    ter Weel, Bas
    Weinberg, Bruce A.
    Title Interpersonal Styles and Labor Market Outcomes
    Publication Date 2006
    Place of Publication Maastricht, NL
    Publisher UNU-MERIT
    Pages 67
    Abstract This paper develops a framework to understand the role of interpersonal interactions in the labor market including task assignment and wages. Effective interpersonal interactions involve caring, to establish cooperation, and at the same time directness, to communicate in an unambiguous way. The ability to perform these tasks varies with personality and the importance of these tasks varies across jobs. An assignment model shows that people are most productive in jobs that match their style and earn less when they have to shift to other jobs. An oversupply of one attribute relative to the other reduces wages for people who are better with the attribute in greater supply. We present evidence that youth sociability affects job assignment in adulthood. The returns to interpersonal interactions are consistent with the assignment model.
    Keyword Interpersonal interactions
    Wages
    Assignment
    JEL J21
    J24
    J31
    Copyright Holder UNU-MERIT
    Copyright Year 2006
    Copyright type All rights reserved
    ISSN 18719872
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    Created: Wed, 11 Dec 2013, 15:48:35 JST