Arbeitspapier

Grades and Employer Learning

This study examines the labor-market returns of skill signals. We identify the labor-market effect of grade point averages (GPA) by leveraging a nationwide change in the scaling of grades in Danish universities. Results show that a reform-induced increase in GPA that is unrelated to ability causes higher earnings immediately after graduation, but the effect fades in subsequent years. The effect at labor-market entry is largest for individuals with fewer alternative signals and the earnings adjustment occurs both within and across firms. Although employers initially screen candidates based on skill signals, our findings suggest that they rapidly learn about worker productivity.

Sprache
Englisch

Erschienen in
Series: IZA Discussion Papers ; No. 14200

Klassifikation
Wirtschaft
Education and Research Institutions: General
Demand and Supply of Labor: General
Returns to Education
Thema
employer learning
job-market signaling
higher education

Ereignis
Geistige Schöpfung
(wer)
Hansen, Anne Toft
Hvidman, Ulrik
Sievertsen, Hans Henrik
Ereignis
Veröffentlichung
(wer)
Institute of Labor Economics (IZA)
(wo)
Bonn
(wann)
2021

Handle
Letzte Aktualisierung
10.03.2025, 11:42 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Hansen, Anne Toft
  • Hvidman, Ulrik
  • Sievertsen, Hans Henrik
  • Institute of Labor Economics (IZA)

Entstanden

  • 2021

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