NDLI: C © 2005 the review of economic studies limited wages, experience and seniority (2001).

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C © 2005 the review of economic studies limited wages, experience and seniority (2001).

Content Provider	CiteSeerX
Author	Dustmann, Christian Meghir, Costas
Abstract	In this paper we study the sources of wage growth. We identify the contribution to such growth of general, sector specific and firm specific human capital. Our results are interpretable within the context of a model where the returns to human capital may be heterogeneous and where firms may offer different combinations of entry level wages and firm specific human capital development. We allow for the possibility that wages are match specific and that workers move jobs as a result of identifying a better match. To estimate the average returns to experience, sector tenure and firm specific tenure within this context, we develop an identification strategy which relies on the use of firm closures. Our data source is a new and unique administrative data-set for Germany that includes complete work histories as well as individual characteristics. We find positive returns to experience and firm tenure for skilled workers. The returns to experience for unskilled workers are small and insignificant after 2 years of experience. Their returns to sector tenure are also zero. However, their returns to firm tenure are substantial. 1.
File Format	PDF
Publisher Date	2001-01-01
Access Restriction	Open
Subject Keyword	Economic Study Limited Wage Sector Tenure Unskilled Worker Data Source Identification Strategy Entry Level Wage Positive Return Skilled Worker Firm Specific Human Capital Development Firm Specific Tenure Different Combination Firm Specific Human Capital Unique Administrative Data-set Average Return Firm Closure Individual Characteristic Wage Growth Complete Work History Human Capital
Content Type	Text
Resource Type	Article

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