People with the highest salaries aren’t necessarily the brightest, according to a Swedish study looking at the link between cognitive ability and income.
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To reach this conclusion, the researchers relied on measurements of the cognitive abilities of nearly 59,400 Swedish men, taken during their military service. This intelligence measurement was then compared to the income they earned between the ages of 35 and 45.
By analyzing these databases, the researchers found that income seemed to follow a curve that matched intelligence level, at least until an income of about 600,000 Swedish kronor (about $78,000 CAD) per year was reached.
On the other hand, beyond this amount, the effect of cognitive ability plateaus and no longer really affects annual income. Members of the top 1% of people even had slightly lower cognitive abilities than earners directly below them.
The researchers pointed out that the huge disparities in income between people at the top of the chain and their employees are very often explained by the skills that would be required for high-level positions.
“However, we found no evidence that those in top jobs who pay extraordinary salaries earn more than those who earn half those salaries,” the authors note.
“Achieving tremendous professional success comes more from family resources or luck than skill,” they added.
The study, conducted at Linköping University’s Institute for Sociological Analysis, was published in late January in the journal European Sociological Review.