Table 1 Overeducation theoretical explanations and proposed tests

1

Overeducation is part of an adaptation process in the early stages of a working career.

Overeducation is higher in workers who have recently entered the labour market.

2

Given job allocation frictions, workers with low bargaining power are more likely to be overeducated.

Overeducation is higher among females and workers who have experienced unemployment spells.

3

Labour market discrimination turns to overeducation.

Overeducation is higher among second generation migrants.

4

Individuals accept overeducation if the probability of promotion is higher.

Overeducation is higher for jobs with good promotion prospects.

5

Overeducation is related with personal abilities (not measured by education attainment).

Overeducation is higher among migrants whose native language or lingua franca does not match that of the home country.