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Sorting Between and Within Industries: A Testable Model of Assortative Matching / John M. Abowd, Francis Kramarz, Sébastien Pérez-Duarte, Ian M. Schmutte.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Abowd, John M.
Contributor:
National Bureau of Economic Research.
Kramarz, Francis.
Pérez-Duarte, Sébastien.
Schmutte, Ian M.
Series:
Working Paper Series (National Bureau of Economic Research) no. w20472.
NBER working paper series no. w20472
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Other Title:
Sorting Between and Within Industries
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2014.
Summary:
We test for sorting of workers between and within industrial sectors in a directed search model with coordination frictions. We fit the model to sector-specific vacancy and output data along with publicly-available statistics that characterize the distribution of worker and employer wage heterogeneity across sectors. Our empirical method is general and can be applied to a broad class of assignment models. The results indicate that industries are the loci of sorting-more productive workers are employed in more productive industries. The evidence confirms assortative matching can be present even when worker and employer components of wage heterogeneity are weakly correlated.
Notes:
Print version record
September 2014.

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