Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/55105
Authors: 
Figueiredo, Octávio
Guimaraes, Paulo
Woodward, Douglas
Year of Publication: 
2011
Series/Report no.: 
Discussion paper series // Forschungsinstitut zur Zukunft der Arbeit 6016
Abstract: 
In this paper we use a novel approach and a large Portuguese employer-employee panel data set to study the hypothesis that industrial agglomeration improves the quality of the firm-worker matching process. Our method makes use of recent developments in the estimation and analysis of models with high-dimensional fixed effects. Using wage regressions with controls for multiple sources of observed and unobserved heterogeneity we find little evidence that the quality of matching increases with firm's clustering within the same industry. This result supports Freedman's (2008) analysis using U.S. data.
Subjects: 
agglomeration
matching
fixed-effects
JEL: 
R12
R39
J31
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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