EconPapers    
Economics at your fingertips  
 

Labor market search, informality, and on-the-job human capital accumulation

Matteo Bobba, Luca Flabbi, Santiago Levy and Mauricio Tejada ()

Journal of Econometrics, 2021, vol. 223, issue 2, 433-453

Abstract: We develop a search and matching model where firms and workers produce output that depends both on match-specific productivity and worker-specific human capital. The human capital is accumulated while working but depreciates while searching for a job. Jobs can be formal or informal. The model is estimated on labor market data for Mexico. Human capital accumulation is responsible for more than half of the overall value of production, and upgrades more quickly while working formally than informally. Policy experiments reveal that human capital accumulation magnifies the negative impact on productivity of the labor market institutions that give rise to informality.

Keywords: Labor market frictions; Search and matching; Nash bargaining; Informality; On-the-job human capital accumulation (search for similar items in EconPapers)
JEL-codes: J24 J3 J64 O17 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0304407620303304
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Labor market search, informality, and on-the-job human capital accumulation (2021)
Working Paper: Labor Market Search, Informality, and On-The-Job Human Capital Accumulation (2019) Downloads
Working Paper: Labor Market Search, Informality, and On-The-Job Human Capital Accumulation (2019) Downloads
Working Paper: Labor Market Search, Informality, and On-The-Job Human Capital Accumulation (2019) Downloads
Working Paper: Labor Market Search, Informality, and On-The-Job Human Capital Accumulation (2019) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:econom:v:223:y:2021:i:2:p:433-453

DOI: 10.1016/j.jeconom.2019.05.026

Access Statistics for this article

Journal of Econometrics is currently edited by T. Amemiya, A. R. Gallant, J. F. Geweke, C. Hsiao and P. M. Robinson

More articles in Journal of Econometrics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

 
Page updated 2022-01-04
Handle: RePEc:eee:econom:v:223:y:2021:i:2:p:433-453