We propose several models in which an ascriptive characteristic generates earnings differentials and is sorted across sectors. The general approach shows how to distinguish the ultimate sources of labor-market returns to such characteristics; the specific example uses longitudinal data on a...

We propose several models in which an ascriptive characteristic generates earnings differentials and is sorted across sectors. The general approach shows how to distinguish the ultimate sources of labor-market returns to such characteristics; the specific example uses longitudinal data on a...