Interfirm Mobility, Wages and the Returns to Seniority and Experience in the United States
Moshe Buchinsky (),
Denis Fougere (),
Francis Kramarz () and
Rusty Tchernis ()
Review of Economic Studies, 2010, vol. 77, issue 3, 972-1001
In this paper, we expand on the seminal work of Altonji and Shakotko (1987) and Topel (1991) and reinvestigate the returns to seniority in the United States. We begin with the same wage equation as in previous studies. We extend the model of Hyslop (1999) and explicitly model the participation/employment and inter-firm mobility decisions, which, in turn, define the individual's experience and seniority. We introduce into the wage equation a summary of the workers' entire career path. The three-equation system is estimated simultaneously using data from the Panel Study of Income Dynamics (PSID). We find that for each of the three education groups studied the returns to seniority are larger than those previously found in the literature. Copyright , Wiley-Blackwell.
References: Add references at CitEc
Citations: View citations in EconPapers (46) Track citations by RSS feed
Downloads: (external link)
Access to full text is restricted to subscribers.
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:oup:restud:v:77:y:2010:i:3:p:972-1001
Access Statistics for this article
Review of Economic Studies is currently edited by Andrea PratEditor-Name: Bruno BiaisEditor-Name: Kjetil StoreslettenEditor-Name: Enrique Sentana
More articles in Review of Economic Studies from Oxford University Press
Bibliographic data for series maintained by Oxford University Press ().