Sobreeducacion en el mercado laboral chileno

The research investigates the impact of over-education in the Chilean workforce, using data from the PIAAC and CASEN surveys from 2003 to 2015. The results show that on average 37% of workers with higher education are classified as “over-educated” in the period 2003-2015. In addition, the majority of this “over-educated people” come from private universities and perform in technical, administrative and legislative jobs. I also use the 2015 CASEN survey to analyze the probability of being over-educated. The results show that workers with a technical or non-traditional degree in professional education institutes and private universities are those who are more likely to be considered “over-educated”. Moreover, I implemented a propensity score matching methodology using the CASEN survey 2015 to study the impact of over-education on wages and on-the-job training. The results suggest a negative impact of over-education on wages.