Polachek, Solomon; Das, Tirthatanmoy; Thamma-Apiroam, Rewat - Institute for the Study of Labor (IZA) - 2013
We derive a tractable nonlinear earnings function which we estimate separately for each individual in the NLSY79 data. These estimates yield five important parameters for each individual: three ability measures (two representing the ability to learn and one the ability to earn), a rate of skill...