Illustrating Instrumental Variable Regressions Using the Career Adaptability - Job Satisfaction Relationship.

ABSTRACT: This article illustrates instrumental variable (IV) estimation by examining an unexpected finding of the research on career adaptability and job satisfaction. Theoretical and empirical arguments suggest that in the general population, people's abilities to adapt their careers are beneficial to their job satisfaction. However, a recent meta-analysis unexpectedly found no effect when personality traits are controlled for. We argue that a reverse effect of job satisfaction on career adaptability, originating from affective tendencies tied to personality, might explain this null effect. Our argument implies that the estimates obtained with traditional ordinary least squares (OLS) regressions are biased by endogeneity, a correlation between an explanatory variable and the error term in a regres

SUBMITTER: Bollmann G 

PROVIDER: S-EPMC6611186 | biostudies-literature | 2019

REPOSITORIES: biostudies-literature