Sorting Between and Within Industries: A Testable Model of Assortative Matching

John Abowd (), Francis Kramarz (), Sebastien Perez-Duarte and Ian M. Schmutte ()
Additional contact information
Ian M. Schmutte: University of Georgia

No 8439, IZA Discussion Papers from Institute of Labor Economics (IZA)

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.

Keywords: industries; sorting (search for similar items in EconPapers)
JEL-codes: J30 (search for similar items in EconPapers)
Pages: 54 pages
Date: 2014-08
New Economics Papers: this item is included in nep-dge, nep-lab and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9)

Published - published in: Annals of Economics and Statistics, 2018, 129, 1-32

Downloads: (external link)
https://docs.iza.org/dp8439.pdf (application/pdf)

Related works:
Journal Article: Sorting Between and Within Industries: A Testable Model of Assortative Matching (2018)
Working Paper: Sorting Between and Within Industries: A Testable Model of Assortative Matching (2017)
Working Paper: Sorting Between and Within Industries: A Testable Model of Assortative Matching (2014)
Working Paper: Sorting Between and Within Industries: A Testable Model of Assortative Matching (2014)
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:iza:izadps:dp8439

Ordering information: This working paper can be ordered from
IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany

Access Statistics for this paper

More papers in IZA Discussion Papers from Institute of Labor Economics (IZA) IZA, P.O. Box 7240, D-53072 Bonn, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Holger Hinte ().