Relative age effect on labor market outcomes for high-skilled workers : evidence from soccer

In sports and education contexts, children are divided into age groups that are arbitrary constructions based on admission dates. This age-group system is thought to determine differences in maturity between pupils within the same group, that is, relative age (RA). In turn, these within-age-group maturity differences produce performance gaps, that is, relative age effects (RAEs), which might persist and affect labor market outcomes. I analyze the RAE on labor market outcomes using a unique dataset of a particular group of highskilled workers: soccer players in the Italian major soccer league. In line with previous studies, evidence on the existence of an RAE in terms of representativeness is found, meaning that players born relatively early in an age group are over-represented, while players born relatively late are under-represented, even accounting for specific population trends. Moreover, players born relatively late in an age group receive lower gross wages than players born relatively early. This wage gap seems to increase with age and in the quantile of the wage distribution