Helpman, Elhanan; Itskhoki, Oleg; Redding, Stephen - In: Econometrica 78 (2010) 4, pp. 1239-1283
This paper develops a new framework for examining the determinants of wage distributions that emphasizes within-industry reallocation, labor market frictions, and differences in workforce composition across firms. More productive firms pay higher wages and exporting increases the wage paid by a...