Taber, Christopher; Vejlin, Rune Majlund - 2016
In this paper we develop a model capturing key features of the Roy model, a search model, compensating differentials … features. Compensating differentials and search are both very important for explaining other features of the data such as the … variation in utility. Search is important for turnover, but so is compensating differentials: 1/3 of all choices between two …
