Height as a Proxy for Cognitive and Non-Cognitive Ability

Abstract

Taller workers receive a substantial wage premium. Studies extending back to the middle of the last century attribute the premium to non-cognitive abilities, which are associated with stature and rewarded in the labor market. More recent research argues that cognitive abilities explain the stature-wage relationship. This paper reconciles the competing views by recognizing that net nutrition, a major determinant of adult height, is integral to our cognitive and non-cognitive development. Using data from Britain's National Childhood Development Study (NCDS), we show that taller children have higher average cognitive and non-cognitive test scores, and that each aptitude accounts for a substantial and roughly equal portion of the stature premium. Together these abilities explain why taller people have higher wages.

The Stature of the Self-Employed and its Premium

“…We conclude that the premium is significantly higher for self-employed individuals than for paid employees, at least in our German sample. It is known from existing studies that height is positively associated with (non)cognitive abilities (Schick and Steckel, 2010), and in our sample, we observe higher education levels for taller persons (results not tabulated). The higher height premium for self-employed individuals can then be explained by the greater returns to ability, such as those from education and intelligence, in self-employment relative to paid employment (see Parker and Van Praag (2010) for a review of the literature on this subject).…”

“…Most older studies in the literature emphasize social discrimination on the basis of height as the deeper cause. The newer studies argue that cognitive skills, non-cognitive skills, and height are interrelated and jointly determined to the extent that selection on these (non-)cognitive skills-rather than on height itselflargely explains the positive correlation between height and job status (Schick and Steckel, 2010).…”

“…Gowin (1915) already showed that there is considerable variation in height within occupational groups (in his case executives) that appears to be positively associated with job level. We also know that the height premium in earnings exists irrespective of occupational classes within paid employment (Case and Paxson, 2006, Persico, Postlewaite and Silverman, 2004, Schick and Steckel, 2010). The height premium for self-employed individuals has been investigated in one article using an Indonesian sample (Sohn, 2014).…”

Are Tall People Less Risk Averse than Others?

“…Fourth, tall people tend to think of themselves as leaders and therefore opt for managerial positions and self-employment occupations, which require a relatively high degree of risk tolerance. Schick and Steckel (2010) find that among children above-average height is correlated with aboveaverage scores on both cognitive and non-cognitive tests. Cesarini et al(2008) show that genetic factors determine risk behaviour.…”

Does Height Affect Labor Supply? Implications of Product Variety and Caloric Needs

“…They ascribe the positive height premium to a positive correlation between height and cognitive skills. Schick and Steckel (2010) show that tall children on average exhibit higher cognitive as well as non-cognitive skills.…”