Starting Wages,Hires and Separations
Paul Bingley and
Gauthier Lanot
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Paul Bingley: National Centre for Register-based Research, Tåsingegade 1,, Postal: Århus University,8000 Århus C, Denmark.
No KERP 2003/02, Keele Economics Research Papers from Centre for Economic Research, Keele University
Abstract:
We study the empirical relationship between the hiring rate, separation rate and starting wages. A practical empirical model is set up and estimated on Danish matched employer-employee longitudinal data for the period 1980--1995. We find (1) firm heterogeneity is important in all dimensions of our model: starting wages, time between hires and employment length (2) matching between firms and workers is exogenous (3) friction effects in the determination of wages are very small, which suggests that the Danish labour market is close to competitive.
Keywords: linked longitudinal employer-employee data; unobserved heterogeneity; durations; semi-parametric mixtures (search for similar items in EconPapers)
JEL-codes: C33 C41 J31 J63 (search for similar items in EconPapers)
Pages: 48 pages
Date: 2003-04
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Persistent link: https://EconPapers.repec.org/RePEc:kee:kerpuk:2003/02
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