Wage Mobility in the Italian Labour Market: Comparing Search, Matching and Training Models
AbstractThis paper studies the sources of wage growth and the process of turnover for a sample of Italian male workers employed in the private sector. Different theories based on the idea of job-specific skill investment are tested and discussed. Results indicate a consistent proportion of wage cuts upon moving to a new job and some evidence of positive duration dependence in reservation wages. This suggests the importance of matching and human capital components in wage determination. However, mobility patterns and wage dynamics can hardly be explained by a single model; each model is instead only able alone to capture some stylised facts. Heterogeneity in mobility rates plays also an important role.
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Bibliographic InfoArticle provided by Società editrice il Mulino in its journal Politica economica.
Volume (Year): (2007)
Issue (Month): 2 ()
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wage mobility; on-the-job search; matching; training; duration dependence; heterogeneity.;
Other versions of this item:
- Giovanni Sulis, 2004. "Wage mobility in the Italian labour market - Comparing search, matching and training models," Working Papers - Dipartimento di Economia 2-DEISFOL, Dipartimento di Economia, Sapienza University of Rome, revised 2004.
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
- J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
- J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
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- Agar Brugiavini, 1998. "An Empirical Analysis of Interfirm Mobility in Italy," Giornale degli Economisti, GDE (Giornale degli Economisti e Annali di Economia), Bocconi University, vol. 57(1), pages 1-34, April.
- Abowd, John M. & Kramarz, Francis, 1999. "The analysis of labor markets using matched employer-employee data," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 40, pages 2629-2710 Elsevier.
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