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Ability, Promotion, and Optimal Retirement

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Author Info
Stern, Steven

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Abstract

This article considers a model in which the productivity of a worker depends on his experience, ability, and position in the firm. It is shown that workers are sorted in positions based on comparative advantage. Furthermore, workers are induced to retire when productivity is equal to the value of time after adjusting for the reallocation of other workers by positions that would occur if the worker retired. Copyright 1994 by University of Chicago Press.

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File URL: http://links.jstor.org/sici?sici=0734-306X%28199401%2912%3A1%3C119%3AAPAOR%3E2.0.CO%3B2-T&origin=repec
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Publisher Info
Article provided by University of Chicago Press in its journal Journal of Labor Economics.

Volume (Year): 12 (1994)
Issue (Month): 1 (January)
Pages: 119-37
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Handle: RePEc:ucp:jlabec:v:12:y:1994:i:1:p:119-37

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  1. Paul Bingley & Gauthier Lanot, 1999. "Employer Compensation Policies, Public Transfer Programmes and Retirement Decisions," Keele Department of Economics Discussion Papers (1995-2001) 99/01, Department of Economics, Keele University, revised Jun 2000. [Downloadable!]
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This page was last updated on 2009-10-24.

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