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A distance function approach to school-leavers’ efficiency in the school-to-work transition

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  • B. DEFLOOR
  • L. VAN OOTEGEM
  • E. VERHOFSTADT

Abstract

Two conventional approaches to study the school-to-work transition are the duration period to the first job and the satisfaction in (or for some specific characteristics of) the first job. This paper compares these two approaches with an analysis of the efficiency of school-leavers? first job achievement. The transformation of resources, when leaving school, into achieved first job characteristics is analysed using a multi-input multi-output stochastic distance function approach. This allows to assess the efficiency of this conversion process. Inter-individual differences in transformation efficiency are important, especially when policy makers want to focus on reasons for resource-inefficiency that are beyond the control of the individual. The empirical analysis is based on the 1978 birth cohort of the Flemish SONAR data. The variation in efficiency is explained in terms of individual-specific conversion factors that influence job efficiency: the social (family) background, the motivation to work, the number of search channels used and the sector of employment. The most important positive factor is education (a higher number of successful school years). The results are compared with the average duration to the first job and average job satisfaction. The efficiency analysis provides additional information. Most attention is attracted to the role of the social background, more specifically having a non-Belgian background, for the school-to-work transition.

Suggested Citation

  • B. Defloor & L. Van Ootegem & E. Verhofstadt, 2010. "A distance function approach to school-leavers’ efficiency in the school-to-work transition," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 10/682, Ghent University, Faculty of Economics and Business Administration.
    • Handle: RePEc:rug:rugwps:10/682
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    File URL: http://wps-feb.ugent.be/Papers/wp_10_682.pdf
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    References listed on IDEAS

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    2. Helena Skyt Nielsen & Michael Rosholm & Nina Smith & Leif Husted, 2003. "The school-to-work transition of 2 nd generation immigrants in Denmark," Journal of Population Economics, Springer;European Society for Population Economics, vol. 16(4), pages 755-786, November.
    3. Luis Diaz-Serrano & Jose A. Cabral Vieira, 2005. "Low-pay higher pay and job satisfaction within the European Union: empirical evidence from fourteen countries," Economics Department Working Paper Series n1560405, Department of Economics, National University of Ireland - Maynooth.
    4. Koutsomanoli-Filippaki, Anastasia & Margaritis, Dimitris & Staikouras, Christos, 2009. "Efficiency and productivity growth in the banking industry of Central and Eastern Europe," Journal of Banking & Finance, Elsevier, vol. 33(3), pages 557-567, March.
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    Cited by:

    1. Björn Nilsson, 2019. "The School-to-Work Transition in Developing Countries," Journal of Development Studies, Taylor & Francis Journals, vol. 55(5), pages 745-764, May.

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