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How well do theories of job matching explain variations in job satisfaction across education levels? Evidence for UK graduates

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Abstract:

Using ordered probit estimation technique this paper examines the job satisfaction of recent UK graduates. Focussing primarily on explaining job satisfaction in terms of individuals matching to jobs, with the match depending on reservation returns, information sets and job offer rates. Only limited support can be found for the argument that job matching explains higher job satisfaction. In addition, stylizing graduates as a peer group, who form satisfaction levels based on their rankings relative to each other we examine whether or not education quality, which raises peer group status and increases the job offer rate, is systematically related to job satisfaction. The results broadly support the hypothesis that job satisfaction is neutral across graduates of different education qualities. However, our specification tests indicate that ordered probit estimation may not be fully appropriate for identifying the characteristics of those with high job satisfaction.

Document Type: Research Article

DOI: https://doi.org/10.1080/00036840110041895

Publication date: 2002-03-20

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