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A wide class of models with On-the-Job Search (OJS) predicts that workers gradually select into better-paying jobs. We develop a simple methodology to test predictions implied by OJS using two sources of identification: (i) time-variation in job-finding rates and (ii) the time since the last...
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-cycle wage growth of U.S. white males into four main sources: education, hours worked, cognitive skills (AFQT scores) and … individual differences in hours worked and education explain the remaining part almost equally. We show how our model is a … education. Finally, because policy changes induce simultaneous movements in observed choices and average per-year effects …
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We compare the performance of maximum likelihood (ML) and simulated method of moments (SMM) estimation for dynamic … discrete choice models. We construct and estimate a simplified dynamic structural model of education that captures some basic …
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rich, previously unavailable, set of factors in the estimation of the effect of overeducation on earnings. Oaxaca … tertiary education graduates, whereas job characteristics and low skill content of jobs explain most of the wage gap for medium …
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