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The Effects of Unemployment and Underemployment on Employment Opportunities
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The Effects of Unemployment and Underemployment on Employment Opportunities
Published in ILR Review (2017)

This paper explores how unemployment and underemployment impact the job prospects of recent college graduates. Through a correspondence audit involving over 9,300 applications, the authors found:

  • Underemployment Hurts: Applicants working in roles below their education level were 30% less likely to receive interview callbacks than those in adequately matched positions.
  • Unemployment Effects Are Minimal: No significant relationship was found between unemployment duration and callback rates.
  • Internships Mitigate Damage: Prior internship experience reduced the adverse effects of underemployment, emphasizing the value of early professional experience.

Featured in Wall Street Journal: Real Time Economics and Market Watch, this research highlights the long-term consequences of initial career mismatches and reinforces the importance of internships.

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