This paper examines the role that human capital plays in firm's strategic decisions. It focuses on long-distance corporate relocations which present certain trade-offs in terms of human capital and modifies firms' relationship with the labour force. It is assessed to what extent having (an...

Sorting of high-ability workers is a main source of urban-rural disparities in economic outcomes. Less is known about when such human capital sorting occurs and who it involves. Using data on 15 cohorts of university graduates in Sweden, we demonstrate significant sorting to urban regions on...