expensive older workers into retirement. Based on the seniority wage model developed by Lazear (1979), we discuss steep … seniority wage profiles as incentives for firms to dismiss older workers before retirement. Conditional on individual retirement … incentives, e.g., social security wealth or health status, the steepness of the wage profile will have different incentives for …

We analyze the joint determination of wage levels, wage growth and firm tenure. Our analysis is built on estimating a … reduced form for tenure, a structural wage level equation and a structural wage growth equation. We disentangle returns to a … latent type variable from estimates of general returns to tenure and wage gains from job changes. This type is related to …