Standard search models are unreliable for structural inference of the underlying sources ofwage inequality because they are inconsistent with observed residual wage dispersion. Weaddress this issue by modeling skill development and duration dependence in unemploymentbenefits in a random on the...

The theory of career mobility (Sicherman and Galor 1990) claims that wage penalties for overeducated workers are compensated by better promotion prospects. Sicherman (1991) was able to confirm this theory in an empirical study. However, the controls for the opposing phenomenon of undereducation...

Little is known about the payoffs to apprenticeship training in the German speaking countriesfor the participants. There is a lot of heterogeneity in the types of apprenticeships offered,and there might be an important element of selection in who obtains an apprenticeship, andwhat type. To...

This paper examines the incidence and wage effects of over-skilling within the Australianlabour market. It finds that approximately 30 percent of employees believed themselves to bemoderately over-skilled and 11 percent believed themselves to be severely over-skilled. Theincidence of skills...

Empirical investigations with enterprise level data from official statistics often use the averagewage as a proxy variable for the qualification of the workforce, mostly due to the lack ofdetailed information on the qualification of the employees. This paper uses unique newlyavailable data for...

How much do developing countries benefit from foreign investment? We contribute to this question by comparing the employment and wage practices of foreign and domestic firms in Brazil, using detailed matched firm-worker panel data...

This paper examines the performance of minimum wage legislation in Kenya, both in terms of its coverage and enforcement as well as in terms of their implications for wages and employment. Our findings based on the 1998/99 labor force data - the last labor force survey available - indicate that...

In this paper, we propose and test a novel effect of immigration on the wages of nativeworkers. Existing studies have focused on the wage effects that result from changes in theaggregate labour supply in a competitive labour market. We argue that if labour markets arenot fully competitive, the...

While it is a stylized fact that exporting firms pay higher wages than non-exporting firms, the direction of the link between exporting and wages is less clear. Using a rich set of German linked employer-employee panel data we follow over time plants that start to export. We show that the...

This paper empirically establishes the effect of the employer's term of notice on the wage level of employees. The term of notice is defined as the period an employer has to notify workers in advance of their up-coming dismissal. The wages paid during this period are an important element of...