De la Roca, Jorge; Ottaviano, Gianmarco I. P.; Puga, Diego - London School of Economics (LSE) - 2014
is little sorting on ability. A possible explanation is that young individuals have an imperfect assessment of their … ability, and, when they learn about it, early decisions have had a lasting impact and reduce their incentives to move. We … formalize this idea through an overlapping generations model of urban sorting by workers with heterogenous ability and self …