High wage workers match with high wage firms: Clear evidence of the effects of limited mobility bias

Limited Mobility Bias explains why positive assortative matching is not observed in the empirical literature. Using German social security records, we estimate the correlation between worker and firm contributions to wage equations and find that it is unambiguously positive.

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Year of publication:	2012
Authors:	Andrews, M.J. ; Gill, L. ; Schank, T. ; Upward, R.
Published in:	Economics Letters. - Elsevier, ISSN 0165-1765. - Vol. 117.2012, 3, p. 824-827
Publisher:	Elsevier
Subject:	Employer–employee panels \| Limited mobility bias \| Positive assortative matching

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Type of publication:	Article
Classification:	J20 - Time Allocation; Work Behavior; Employment Determination and Creation. General ; J30 - Wages, Compensation, and Labor Costs. General ; C23 - Models with Panel Data
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10010594162