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The Effects of Non-cognitive Abilities on Wages: Evidence from China Family Panel Studies

Le Junjie; Hu Bowen |
Year.Issue:Page: 2017.4:66-76 | Chinese Library Classification Number:
Keywords:
Non-cognitive Abilities Wage Income New Human Capital Theory "Big Five" Personality Model Gender Differences
ABSTRACT

Using the data from both 2012 and 2014 China Family Panel Study, this paper provides empirical evidence about the effects of non- cognitive abilities on wages for labour market in China, based on the "Big- Five" model. The results show that non- cognitive abilities affect employees' wages in a significant way, which even can be comparable to education. In addition, the way of non- cognitive abilities on wages presents obvious gender differences. In details, neuroticism and agreeableness may be more important for female employees, while conscientiousness is more affective to male employees. The paper indicates that, in the future, both schooling education and government organized training need to pay more attention to non- cognitive abilities, rather than merely emphasize cognitive abilities.