Bonhomme, Stéphane; Holzheu, Kerstin; Lamadon, Thibaut; … - 2021
Many studies use matched employer-employee data to estimate a statistical model of earnings determination where log-earnings … the variance of log-earnings, pointing to the importance of firm-specific wage-setting for earnings inequality. Second … effects dispersion matters less for earnings inequality and worker sorting becomes always positive and typically strong. …