Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/46111 
Year of Publication: 
2010
Series/Report no.: 
IZA Discussion Papers No. 5163
Publisher: 
Institute for the Study of Labor (IZA), Bonn
Abstract: 
While it is well established that both promotions within firms and mobility across firms lead to significant earnings progression, little is known about the interaction between these types of mobility. Exploiting a large Danish panel data set and controlling for unobserved individual heterogeneity, we show that cross-firm moves at the non-executive level provide sizeable short-run gains (similar to the effect of a promotion), consistent with the existing literature. These gains, however, appear modest when compared with the persistent impact on earnings growth of promotions (either within or across firms) and subsequent mobility at a higher hierarchy level.
Subjects: 
earnings growth
promotions
dynamic panel data models
matched employer-employee data
JEL: 
C33
J6
M51
Document Type: 
Working Paper

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