韩国央行-社会技能在韩国劳动力市场中的重要性（英）-2024

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No.2024-13

BOKISSUENOTE

June10,2024

TheImportanceofSocialSkillsinKoreanLaborMarket

JiwooHan*·SoojungChang**·SamilOh***

①WiththedevelopmentofAIandotherautomationtechnologies,structuralchangesinlabordemandacrossvariousoccupationshavebecomeincreasinglyevident.Asaresult,understandingwhichskillsareindemandandhighlyvaluedhasbecomemorecriticalthanever.Drawingonrecentliteraturethathighlightstheimportanceofsocialskills,thispaperquantitativelymeasuressocialtasksandskillsinthedomesticlabormarketandexamineswhetherthesignificanceofsocialskillshasincreasedintermsoflaborinputandwages.

②Intermsoflaborinput,theshareofsocialskill-intensiveoccupationshasrisenby7%p(from49%to56%)overthepast14years(2008-2022).Incontrast,theshareofmath-intensiveoccupationshasseenamoremodestincreaseof5%p(from50%to55%),whiletheshareoflowsocial-lowmathoccupationshasdecreasedby8%p(from43%to36%).Thissuggeststhatastheoverallskilllevelinthelabormarketupgrades,theimportanceofsocialskillsisalsoontherise.

③Regardingwages,thereisagrowingtrendofincreasedlabormarketreturnstosocialskills.Between2007and2015,aonestandarddeviationincreaseinsocialskillsincreasedrealhourlywagesby4.4%.Thisrateofincreasewasevenhigherbetween

2016and2020,amountingto5.9%.Ontheotherhand,returnstocognitiveskillsappeartohavedeclinedinrecentyears.

④ThegrowingimportanceofsocialskillsisalsoevidentintheU.S.labormarket.Thisphenomenoncanbeexplainedbythefactthatsocialinteractionsarebasedontacitknowledge,whichisdifficulttocodifyandthereforehardtoreplacethrough

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automation.Consequently,socialskillssuchasteamworkandcommunicationskills,whicharelesssusceptibletoautomation,areexpectedtobecomeevenmorecriticalinthefuture.

*DataServiceTeam,OfficeofDigitalInnovation,(jiwoo.han@bok.or.kr)

**LaborMarketResearchTeam,ResearchDepartment(crystalj@bok.or.kr)***LaborMarketResearchTeam,ResearchDepartment(samil.oh@bok.or.kr)

▪Disclaimer:Theviewsexpressedhereinarethoseoftheauthors,anddonotnecessarilyreflecttheofficialviewsoftheBankofKorea.Whenreportingorcitingthispaper,theauthors’namesshouldbealwaysexplicitlystated.

▪TheauthorswouldliketoacknowledgeKwangmyungChun,Sun-binKim,andSe-wanKimfortheirhelpinthepreparationofthispaper.Anyerrorsthatremainarethesoleresponsibilityoftheauthors.

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Ⅰ.Introduction

WiththeadvancementofAIandotherautomationtechnologies,manytaskstraditionallyperformedbyhumansareincreasinglybeingreplacedbymachines.Consequently,understandingwhichabilitiesandskillsaremostindemandinthelabormarkethasbecomemorecrucialthanever.Numerousstudies1)havedemonstratedthatcognitiveskills2)positivelyinfluencelabormarketoutcomes.However,recentresearchsuggeststhatsocialskills—theabilitytocommunicateandcollaborateeffectivelywithothers—alsoplayasignificantroleinlabormarketperformance.Notably,Deming(2017)highlightedthegrowingimportanceofsocialskillsintheU.S.labormarket3).

manufacturingsector4).Thissuggeststhattheimportanceofsocialskillsmayalsobeincreasinginthedomesticlabormarket.

Researchonsocialskillshasbeenlimited,primarilyduetothechallengesindefiningandmeasuringthem.Therefore,thisstudydrawsonexistingliteraturetoquantifyandmeasuresocialtasksandskillsinthedomesticlabormarket.Thestudyaimstodeterminewhethertheimportanceofsocialskillshasindeedincreasedbyexamininglaborinputandwages.Thecorequestionsofthisstudyareasfollows:

.Howcanwemeasuresocialtasksandsocialskills?

.Hastheimportanceofsocialskills

increased?

InSouthKorea,thereisarisingtrendamongcompaniestoprioritizesocialskillswhenselectingcandidates.Asshownin<Table1>,morecompanieshaverecentlypreferredcandidateswithstrongcommunicationandteamworkabilities,whiletheemphasison"expertise"hasdecreasedcomparedtothepast.Thisisasurprisingoutcome,giventhehighproportionofSTEM(Science,Technology,Engineering,Mathematics)jobsinKorea,especiallyinthe

1)SeeMurnaneetal.(1995),NealandJohnson(1996),Taber(2001),HeckmanandVytlacil(2000),andAltonjietal.(2012).Theexistingliterature'semphasisoncognitiveskillsislargelyduetotheeasewithwhichtheseskillscanbemeasured.

2)TheAmericanPsychologcialAssociation(APA)definescognitiveabilityasthe“skillsinvolvedinperformingthetasksassociatedwithperception,learning,memory,understanding,awareness,reasoning,judgment,intuition,andlanguage.”

3)OtherstudiesincludeDemingandKahn(2018),Adhvaryuetal.(2023),andAlganetal.(2022).

4)In2022,approximately30.4%ofalltertiaryeducationgraduatesinSouthKoreawereSTEMmajors,asignificantlyhigherpercentagecomparedtotheU.S.(20.1%in2021),theUK(22.3%in2021),andtheEU(23.8%in2020,27-countryaverage).

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<Table1>ChangeinDesiredAttributesforJobCandidatesamongTop100Firms

Ranking\year

2008

2013

2018

2023

No.1

Creativity

Can-doSpirit

CommunicationandTeamwork

Responsibility

No.2

Expertise

Responsibility

Expertise

Can-doSpirit

No.3

Can-doSpirit

Expertise

PrinciplesandTrust

CommunicationandTeamwork

No.4

PrinciplesandTrust

Creativity

Can-doSpirit

Creativity

No.5

CommunicationandTeamwork

PrinciplesandTrust

Responsibility

PrinciplesandTrust

No.6

GlobalCompetencies

Passion

Creativity

Expertise

No.7

Passion

CommunicationandTeamwork

Passion

Passion

Source:KoreaChamberofCommerceandIndustry

Ⅱ.TheImportanceofSocialSkills:

ALaborInputPerspective

1.MeasurementofNonroutine

Analytical(Math)Task,SocialSkill,andRoutineTaskIntensitiesbyOccupationGroup

FollowingtheapproachofAutoretal.(2003),wemeasuredthenonroutineanalytical(math)task,5)socialskill,androutinetaskintensitiesacrossdifferentoccupations.TheO*NETsystem,developedbytheU.S.DepartmentofLabor,providesdetailedinformationontheabilities,skills,andknowledgerequiredforawiderangeof

occupations,basedonsurveysofworkers.Usingthisdata,wequantifiedoccupationalnonroutineanalytical(math)task,socialskill,androutinetaskintensities.6),7)

Specifically,nonroutineanalytical(math)taskintensityismeasuredwith(ⅰ)mathematicalreasoningability,(ⅱ)mathematicsknowledge,and(ⅲ)mathematicsskillsrequiredtoperformatask(see<Table2>).Socialskillintensityismeasuredby(ⅰ)coordination,(ⅱ)negotiation,(ⅲ)persuasion,and(ⅳ)socialperceptivenessrequiredtoperformatask.Finally,routinetaskintensitymeasures(ⅰ)howautomatedajobisand(ⅱ)howimportantrepeatingthesametaskis.8)

5)Mathtaskintensitywasusedastheproxyforcognitiveskillsrequiredbyanoccupation.

6)Fordetaileddescriptionofthemeasurementmethod,see<Box1>.

7)ValuescalculatedbasedontheU.S.occupationalclassification(OCC1990)wereconvertedintotaskintensitiesforoccupationalsubgroupsbymatchingitsdetailedcategorieswiththoseundertheKoreanStandardClassificationofOccupations(KSCO)andaveragingthem.

8)Socialskillintensityandroutinetaskintensityexhibitastrongnegativecorrelation(-0.50).Thissuggeststhattheroutinetaskintensityofanoccupationcanbeeasilypredictedbasedonitssocialskillintensity.

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<Table2>IndicatorsforOccupationalTaskIntensities

Nonroutineanalytical

(math)tasks

1)MathematicalReasoning:toselectamathematical

Theabilitymethodor

tounderstandandorganizeaformulatosolvetheproblem

problemandthen

2)Mathematicsinterrelationshstatistics,and

Knowledge:Knowledgeofipsincludingarithmetic,theirapplications

numbers,algebra,

theirgeo

operations,andmetry,calculus,

3)MathematicsSkills:Usingmathematicstosolveproblems

Socialtasks

1)Coordination:Ability:Adjustingactionsinrelationtoothers'actions

2)Negotiation:Bringingotherstogetherandtryingtoreconciledifferences

3)Persuasion:Persuadingotherstoapproachthingsdifferently

4)SocialPerceptiveness:reactthewaytheydo

Beingawareofothers'reactionsandunderstandingwhythey

Routinetasks

1)DegreeofAutomationofajob

2)ImportanceofRepeatingSameTasks:Howimportantisrepeatingactivities(e.g.,keyentry)ormentalactivities(e.g.,checkingentriesandover,withoutstopping,toperformingthisjob?

thesamephysicalinaledger)over

Source:O*NET.

2.TaskCategorieswithSignificant

IncreasesinLaborInput

Toidentifyoccupationalcategorieswithasignificantincreaseinlaborinputovertherecent14-yearperiod(2008-2022),weestimatedchangesinthemeantaskinputinpercentilesofthe2008distribution.Usingdatafromregionalemploymentsurveysconductedin2008,wecalculatedthemeanvaluesofthethreetaskintensities9)bygroupingthesurveyedworkersaccordingtoindustry,educationlevel,andgender,resultinginapproximately1,200groups.Wethencalculatedpercentilesforeachgroupandthenweightedthembythelaborinpu

t10)toderivethemeantaskinput.Theindicatorisdesignedtoshowchangesinlaborinput11)foreachindividualtaskinsubsequentyearsrelativetothe2008baseline.Themeantaskinputin2008issetat50percentilebyconstruction.

Asshownin<Figure1>,12)thelaborinputishasincreasedmostsignificantlyforsocialtasks.Specifically,between2008and2022,laborinputinsocialtaskssurgedby9.6%,markingthehighestincreaseamongthreetaskcategories.Incontrast,laborinputformathtasksrosebyonly6.8%,whileroutinetaskssawvirtuallynochange,withjusta1.1%increaseoverthesame14-yearperiod.

9)Theworkforcewasdividedintoindustry,educationlevel,andgender-basedgroupsinordertoindirectlycontrolforchangesintheindustrialstructureandthetechnologicallevelwithinthedomesticlabormarket.Fordetaileddescriptionofthemeasurementmethod,referto<Box1>.

10)Totallaborinputthatconsidersboththeextensivemargin(numberofworkers)andtheintensivemargin(hoursworked).

11)Thechangesreflectboththechangeinthemeantaskintensityandtheweightofeachgroup.

12)Thegraphistheresultofupdating(Figure1)ofAutoretal.(2003)and(Figure3)ofDeming

(2017),usingKoreanlabormarketdata.ConsistentwithU.S.results,thelaborinputincreasewasmostsignificantinsocialtasksalsoinKorea(see<Box3>).

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[Figure1]ChangesinMeanTaskInput1)

(percentile)

SocialSkills

54.8

53.4

NonroutineAnalytical(Math)

50.6

Routine

2008201320182022

Note:1)Meantaskinputinpercentilesofthe2008distributionwherethepercentileforeachtaskin2008issetat50byconstruction.

Sources:O*NET,regionalemploymentsurveys,authors’calculations.

However,apositivecorrelation(+0.56)wasobservedbetweensocialskillintensityandnonroutineanalytical(math)taskintensity,indicatingthattheriseintheimportanceofsocialskillscouldbeareflectionofoverallskillupgradinginthelabormarket.Tofurtherinvestigatethis,were-examinedchangesinlaborinputbydividingoccupationsintofourexclusivegroups13)basedonthemedianvaluesofsocialskillandnonroutineanalytical(math)taskintensities,followingDeming(2017).Occupationswithsocialskillintensityabovethemedianwereclassifiedas“high-social,”whilethosebelowthemedianwereclassifiedas“low-social.”Similarly,occupationswereclassifiedas“high-math”or“low-math”basedontheirmathtaskintensity.14)

4.7%pand2.3%p,respectively,resultinginatotalincreaseof7.0%pofallsocialskill-intensiveoccupations(<Figure2>).Meanwhile,theincreaseintheshareofmath-intensiveoccupationswasmoremoderate,at5.3%p.Notably,theemploymentshareoflowsocial-highmathoccupationssawonlyanegligibleincreaseof0.6%p,suggestingthattheriseindemandforsocialskillsisadistinctphenomenonfromthegeneraltrendofskillupgradinginthelabormarket.Additionally,theemploymentshareoflowsocial-lowmathoccupationsdeclinedby7.6%p,indicatinganoverallimprovementinskilllevelswithinthelabormarket.

[Figure2]CumulativeChangesin

EmploymentShare1)byOccupationTaskIntensity

(%p)

HighSocial-HighMath

HighSocial-LowMath

4.7

2.3

LowSocial-HighMath

LowSocial-LowMath

-7.6

2008201320182022

Note:1)Changesrelativetothe2008baseline;totallaborinputbasedonnumbersofworkersandhoursworked.

Sources:Regionalemploymentsurveys,authors’

calculations

56

54

52

50

48

46

6.04.02.00.0-2.0-4.0-6.0-8.0

0.6

Theemploymentshareofthehighsocial-highmathoccupationsandthehighsocial-lowmathoccupationsincreasedby

13)Basedon3digitleveloftheKSCO.

14)Theclassificationwasbasedontheoccupationaldistributionin2008.Forthelistofoccupationsineachgroup,see<Box2>.

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Ⅲ.ImportanceofSocialSkills:AWagePerspective

1.MeasurementofIndividualCognitive

andSocialSkills

CognitiveandsocialskillsofindividualworkerswerequantitativelymeasuredusingdatafromtheYouthPanel(YP2007).Thispaneltrackedyouthandyoungadultsaged15-29overa14-yearperiod,from2007to2020.15)Thesurveyprovidesvaluableinsightsintotheschool-to-worktransitionofKoreanyouthandcanbeusedtoassesshowtheskillsandcompetenciesindividualspossessedpriortoenteringthelabormarketinfluencetheirsubsequentperformance.

Thecollegescholasticabilitytest(CSAT)resultsoftherespondentswereusedasthecognitiveskillsindicator.16),17)Respondentswereaskedtoreporttheirpercentiletestscoresofeachsubjectintofivecategories,andweusedthetestscoresfromthreemainsubjects:Koreanlanguage,mathematics,andEnglishlanguage.Thesurveywasdesignedsuchthatlowerresponsevaluescorrespondedtohighertestscores.Thus,weconvertedtheresponse

valuesweretoensurethattheindicatorisdirectlyproportionaltothelevelofcognitiveskills.Thecognitiveskillsindicatorwasthenderivedbycalculatingtheaveragescoresacrossthethreesubjectsandstandardizingthemintoanormaldistributionwithameanof0andavarianceof1.

DrawingonDeming(2017),socialskillsweremeasuredusingresponsestoquestionsaboutsatisfactionwithschoollife,characteristicsifthepeergroup,andpersonalcharacteristics.ACronbach’sAlphatest18)wasperformedonsurveyitemsrelatedtoschoollifeandsociabilitytoidentifysevenitemsdeemedthemostreliableindicatorsofsocialskills(<Table3>).Satisfactionwithschoollifereferstothequalityofpeerrelationshipsandsatisfactionwithextracurricularactivities.Peergroupcharacteristicsconsiderthenumberofclosefriends,thelevelofinvolvementinsocialactivitiesinschool,andpopularityamongpeers.Personalcharacteristicsincludetheabilitytospeakinfrontofanaudienceandtheabilitytoclearlycommunicateone’sideas.Foreachofthesevensurveyquestions,anaveragescorewascalculatedforeachindividual,basedonallyearsinwhichthesamequestionwasasked.19)

15)Toaddresstheagingoftheoriginalpanelandtoexpandthesamplesize,afollow-upsurvey(YP2021)hasbeenunderwaysince2021,targetinganewsampleof12,000individualsaged19-28.ThedatausedinthisstudyisdrawnfromYP2007.

16)CSATscoreswereutilizedinthisstudy,followingpreviousresearchthatmeasuredcognitiveskillsusingthetestscoresasaproxy(NealandJohnson(1996),Heckmanetal.(2006),Altonjietal.

(2012),andLee(2013)).

17)ForrespondentswhotooktheCSATmultipletimes,thescoresfromthemostrecenttestwereused.

18)Cronbach'sAlphaisareliabilitycoefficientmeasuringhowcloselyrelatedasetofsurveyitemsareasagroup.

19)Forexample,for“satisfactionwithpeerrelationships,”whichwasaskedatotalof13timesbetween

2008and2020,anaverageresponsewascalculatedbasedonall13years.

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Finally,thesocialskillsindicatorwasderivedbystandardizingresponsevaluesforeachsurveyquestionandthenaveragingthem.

<Table3>IndicatorsforCognitiveandSocialSkills

CognitiveSkills

CSATScores

KoreanLanguage,mathematic,andEnglishlanguagescoresin

percentiles

1(Top(1-10%))–5(Bottom(91-100%))

SocialSkills

SatisfactionwithSchoolLife

Satisfactionwithpeerrelationships

1(Notsatisfiedatall)–5(Verysatisfied)

Satisfactionwithextracurricularactivities1(Notsatisfiedatall)–5(Verysatisfied)

PeerGroup

Characteristics

Numberofclosefriendsincurrentschoollife1)

Myfriendstendtobeactivelyinvolvedinschoolactivitiessuchasclubs,hobbies,andsports.

1(Hardlytrue(lessthan10%))–5(Mostlytrue(morethan90%))

Myfriendstendtobepopularamongawiderangeofpeers.

1(Hardlytrue(lessthan10%))–5(Mostlytrue(morethan90%))

Personal

Characteristics

Iamnotafraidofspeakinginfrontofmanypeople.1(Nottrueatall)–6(Verytrue)

Ilackemployableskills(e.g.,communicationskills,decision-makingability,etc.).

1(Nottrueatall)–6(Verytrue)

Note:1)Log-transformed.

Source:YP2007(2007-2020).

2.CognitiveandSocialSkillsand

Wages

A.CognitiveandSocialskills:WageEffects

andComplementaryRelationship

Toassesstheeffectsofindividualcognitiveandsocialskillsonwages,aregressionanalysiswasperformedfollowingDeming(2017).Thedependentvariable(ln(wageijt))isthelogofrealhourlywage.Theexplanatoryvariablesincludecognitiveskills(COGi),socialskills(ssi),andtheinteractiontermofcognitiveandsocialskills.Theanalysisalsocontrolsforgender,age,and

thelengthofemploymentincurrentjob(xijt,δj),withδjayeardummyvariable(ζt).istandsforindividualworkersandstandsforgender,age,andthelengthofemployment.Theestimationperiodspansfrom2007to2020.20)

ln(wageijt)=β0+β1COGi+β2ssi+β3COGi*ssi+√xijt+δj+ζt+∈ijt

Theestimationresultsshowedthattherewasasignificantwagegainsnotonlyforcognitiveskillsbutalsoforsocialskills.Asshownin<Table4(1)>,aonestandarddeviationincreaseinanindividualworker’ssocialskillsincreasedwagesby5.1%.The

20)Respondentswhowereundertheageof23atthetimeofthesurveyorwerestillinschoolwereexcluded,consideringthetypicalageofentryintothelabormarket.

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resultremainedconsistentwhennon-cognitiveskills21)wereincludedasexplanatoryvariables(<Table4(2)>).Thissuggeststhatamongthevariousnon-cognitiveskills,socialskillsuniquelyprovideindependentinformationaboutanindividual’sabilities.Furthermore,therelationshipbetweensocialskillsandwagesremainedstatisticallysignificantwhentheeducationallevelwasaddedasanexplanatoryvariabletocontrolforthewage-boostingeffectsofhighereducationlevels(<Table4(2)>).

Weobservedacomplementaryrelationshipbetweencognitiveandsocialskills.Whileaonestandarddeviationincreaseincognitiveandsocialskillsledtoawagegainof10.0%and5.1%,respectively,asimultaneousincreaseinbothskillsresultedinanadditionalwagegainby1.1%p(<Table4>(1)).Thisfindingsuggeststhataworkerbenefitsfrompossessingbothcognitiveandsocialskillstoachievebetteroutcomesinthelabormarket.

<Table4>ImpactofCognitiveandSocialSkillsonWages1)

(1)

(2)

Cognitiveskills

0.100***

0.054***

Socialskills

0.051***

0.060***

Cognitiveskills×Socialskills

0.011**

0.012

0.014-0.012

V

V

Non-cognitiveskills

Cognitiveskills×non-cognitiveskills

V

Fixedeffectsforgender,age,year,lengthof

employment

Fixedeffectsforeducationlevel2)

R2

0.307

0.349

Numberofobservations

38,685

8,452

Notes:1)***p<0.01,**p<0.05,*p<0.10.

2)Classifiedasbelowhighschool,highschoolgraduate,juniorcollegegraduate,bachelor’sdegree,master’sdegreeandhigher.

Sources:YP2007(2007-2020),authors’calculations.

B.AreSocialSkillsBetterRewardedthan

TheyWereinthePast?

Inordertounderstandchangesinreturnstosocialskillsovertime,weestimatedthefollowingregressionmodel.Thekeyvariablesarethesameastheonesusedasintheearlierregression.Tocapturethetemporalchangesmoreeffectively,adummyvariable(Last5yt)wasintroducedtorepresentthemostrecentfiveyears(2016-2020)withinthetotalsampleperiod(2007-2020).

+β6COGi*ssi*Last5yt+β7Last5yt

21)FollowingLee(2013),non-cognitiveskillsweremeasuredusingtheyouthpanelquestionnaireitemthataskedrespondentswhowerenotcurrentlyinthelaborforcetoratetheimportanceofcertainvalues(accomplishment,altruism,diversity,intellectualpursuit,autonomy)intheircareerdecision-making.

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Theresultsshowedthatlabormarketreturnstosocialskillsincreasedinrecentyears,whilereturnstocognitiveskillsdecreasedduringthesameperiod.Specifically,aonestandarddeviationincreaseinsocialskillsincreasedwagesby4.4%during2007-2015onaverage.Thisrateroseto5.9%during2016-2020,representinga1.5%pincreasecomparedtothepreviousnine-yearperiod.Conversely,aonestandarddeviationincreaseincognitiveskillsyieldedawagegainof10.9%during2007-2015,whichdeclinedto9.3%in2016-2020,reflectinga1.6%pdecreasefromtheearlierperiod(<Table5(1)>).

Thesefindingssuggestthattheimportanceofsocialskillsinthelabormarkethasincreased,notonlyintermsofemploymentsharebutalsointermsofwages.22)

<Table5>ChangesintheImpactof

CognitiveandSocialSkillsonWagesoverTime1)

CognitiveskillsSocialskills

0.109***0.044***

0.109***0.044***

Cognitiveskills×dummyforthemostrecent5

years

-0.016***

-0.017***

Socialskills×dummyforthemostrecent5

years

0.015**

0.015**

Cognitiveskills×social

skills

Cognitiveskills×social

skills

×dummyforthemost

recent5years

Fixedeffectsforgender,

age,andyear,lengthofemployment

V

0.008

0.007

V

R2

0.307

0.307

Numberofobservations

38,685

38,685

Note:1)***p<0.01,**p<0.05,*p<0.10.

Sources:YP2007(2007-2020),authors’calculations.

(1)(2)

22)Theresultsremainedconsistentwhentheyears(2007-2020)wereassignedcontinuousvaluesbetween0and13,andaninteractionterm—individualskillsmultipliedbytheyear—wasincludedintheregressionmodel.Inotherwords,rewardforsocialskillsincreasedstatisticallysignificantly,whilerewardforcognitiveskillsappearstohavedecreasedduringthesameperiod.AsimilartrendhasalsobeenobservedintheU.S.labormarketaccordingtoDeming(2017).

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Ⅳ.SocialSkillsandCareer

Choice

1.DoWorkerswithHighSocialskills

ChooseSocialSkill-intensiveJobs?

Todeterminewhetherworkerssortonskills,choosingjobsthatalignwiththeirindividualskills,thefollowingregressionmodelwasestimatedusingindividualskillsandtaskintensitiesofoccupations.Thedependentvariable(Tijt)isroutinetaskandsocialskillintensitiesofoccupations,analyzedintheearliersection.Theexplanatoryvariablesincludecognitiveskills(COGi),socialskills(ssi),andtheinteractiontermforcognitiveandsocialskills,gender,age,educationallevel,year,industry,andtheO*NETcontrolvariableforcognitivetaskintensity(xijt,δj,ζt).

Tijt=β0+β1COGi+β2ssi+β3COGi*ssi+√xijt+δj+ζt+∈ijt

Theestimationresultsindicatedthatindividualswithhighersocialskillsaremorelikelytochooseoccupationswithhighsocialskillintensity.Asshownin<Table6>,aonestandarddeviationincreaseinsocialskillsincreasedsocialskillintensityoftheworker’soccupationby0.9percentile.ThisfindingalignswiththetheoreticalmodelestimatebyDeming(2017).Additionally,theestimation