Matching Bias in Labor Demand Estimation
AbstractUsing a matched firm-worker dataset, we show both theoretically and empirically that positive assortative matching between firms and workers leads to an underestimation of the absolute value of wage elasticity of labor demand.
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Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 3076.
Length: 10 pages
Date of creation: Sep 2007
Date of revision:
Publication status: published in: Economics Letters, 2008, 100 (2), 297-299
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Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany
Phone: +49 228 3894 223
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Web page: http://www.iza.org
Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany
Other versions of this item:
- J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
- J32 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Nonwage Labor Costs and Benefits; Retirement Plans; Private Pensions
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- Giovanna Aguilar & Silvio Rendon, 2007.
"Employment and deadweight loss effects of observed non-wage labor costs,"
Documentos de Trabajo, Departamento de EconomÃa - Pontificia Universidad CatÃ³lica del PerÃº
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- Daniel S. Hamermesh, 1987.
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NBER Working Papers
1297, National Bureau of Economic Research, Inc.
- Lichter, Andreas & Peichl, Andreas & Siegloch, Sebastian, 2014.
"The own-wage elasticity of labor demand: A meta-regression analysis,"
ZEW Discussion Papers
14-016, ZEW - Zentrum fÃ¼r EuropÃ¤ische Wirtschaftsforschung / Center for European Economic Research.
- Lichter, Andreas & Peichl, Andreas & Siegloch, Sebastian, 2014. "The Own-Wage Elasticity of Labor Demand: A Meta-Regression Analysis," IZA Discussion Papers 7958, Institute for the Study of Labor (IZA).
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