Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/102335
Authors: 
Abowd, John M.
Kramarz, Francis
Pérez-Duarte, Sébastien
Schmutte, Ian M.
Year of Publication: 
2014
Series/Report no.: 
IZA Discussion Papers 8439
Abstract: 
We test for sorting of workers between and within industrial sectors in a directed search model with coordination frictions. We fit the model to sector-specific vacancy and output data along with publicly-available statistics that characterize the distribution of worker and employer wage heterogeneity across sectors. Our empirical method is general and can be applied to a broad class of assignment models. The results indicate that industries are the loci of sorting-more productive workers are employed in more productive industries. The evidence confirms assortative matching can be present even when worker and employer components of wage heterogeneity are weakly correlated.
Subjects: 
sorting
industries
JEL: 
J30
Document Type: 
Working Paper

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