The survey presents basic facts on wage growth and summarizes the main ideas on the possible sources of this growth. We document that wage growth happens mainly early in the life cycle and is then associated with increasing labor force participation and high job mobility. Wage growth during the...

We analyze an equilibrium search model with three sources for wage and unemployment differentials among workers with the same (observed) human capital but different appearance (race): unobserved productivity, search intensities, and discrimination due to an appearance-based employer disutility...