JOB MATCHING WITHIN AND ACROSS FIRMS

Elena Pastorino

International Economic Review, 2015, vol. 56, issue 2, 647-671

Abstract: This article proposes a matching model of the labor market in the presence of uncertainty and learning about ability that provides a simple unified framework for analyzing the dynamics of jobs and wages within firms and in the labor market. The model allows for different degrees of generality of ability as well as speeds of learning across jobs and firms. Equilibrium assignments and wages are consistent with a broad range of empirical findings on careers, suggest a novel interpretation for well‐documented patterns, and help explain features of careers usually thought difficult to reconcile with the presence of uncertainty and learning.

Date: 2015
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https://doi.org/10.1111/iere.12117

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Working Paper: Job matching within and across firms (2013)
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