Using a variance decomposition framework which provides bounds on the effect of families and neighbourhoods, we find important effects of family characteristics and residential location on educational attainment and adult earnings in Norway. Neighbourhoods are less important than families, as...

School quality is hard to define and measure. It is influenced by not only school expenditures, but also characteristics that are hard to measure like norms and peer effects among teachers and pupils. Furthermore, family background and community characteristics are important in explaining...

We develop an equilibrium model of wages and estimate it using administrative data from Norway. Coworkers interact through a task-assignment model, and wages are determined through multilateral bargaining over the surplus that accrues to the workforce. Seniority affects wages through workplace...