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Education, experience and dynamic urban wage premium

Author

Listed:
  • Fredrik Carlsen

    (Department of Economics, Norwegian University of Science and Technology)

  • Jorn Rattso

    (Department of Economics, Norwegian University of Science and Technology)

  • Hildegunn E. Stokke

    (Department of Economics, Norwegian University of Science and Technology)

Abstract

We analyze static and dynamic agglomeration effects across education groups. The data are based on administrative registers covering all full time workers in the private sector of Norway during 2001-2010, about 6.5 million worker-year observations, including place and sector of work experience since 1993. Accounting for unobservable abilities with identification based on movers, the static urban wage premium is similar across education groups. When the history of work experience in different regions and sectors is included, we show that the dynamic wage premium increases in education level and that highly educated in high wage sectors have the largest learning advantage.

Suggested Citation

  • Fredrik Carlsen & Jorn Rattso & Hildegunn E. Stokke, 2013. "Education, experience and dynamic urban wage premium," Working Paper Series 15213, Department of Economics, Norwegian University of Science and Technology.
  • Handle: RePEc:nst:samfok:15213
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    File URL: http://www.svt.ntnu.no/iso/WP/2013/14_edu_JR_FC_HES.pdf
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    Cited by:

    1. Combes, Pierre-Philippe & Gobillon, Laurent, 2015. "The Empirics of Agglomeration Economies," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 247-348, Elsevier.
    2. Ana Maria Bonomi Barufi, 2016. "Should I Stay Or Should I Go? Dynamic Agglomeration Economies In Brazil," Anais do XLIII Encontro Nacional de Economia [Proceedings of the 43rd Brazilian Economics Meeting] 164, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics].
    3. D'Costa, Sabine & Overman, Henry G., 2014. "The urban wage growth premium: Sorting or learning?," Regional Science and Urban Economics, Elsevier, vol. 48(C), pages 168-179.
    4. Stefan Leknes, 2014. "Quality of life and population size: Causal evidence with historical mines," Working Paper Series 15714, Department of Economics, Norwegian University of Science and Technology.
    5. Fabian Eckert & Conor Walsh & Mads Hejlesen, 2018. "The Return to Big City Experience: Evidence from Danish Refugees," 2018 Meeting Papers 1214, Society for Economic Dynamics.
    6. Jørn Rattsø & Hildegunn E. Stokke, 2017. "National income taxation and the geographic distribution of population," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 24(5), pages 879-902, September.
    7. Cecilia Vives, 2019. "Human capital and market size," Papers in Regional Science, Wiley Blackwell, vol. 98(1), pages 75-92, February.
    8. Jørn Rattsø & Hildegunn E Stokke, 2015. "Handling amenities in income taxation: Analysis of tax distortions in a migration equilibrium model," Working Paper Series 16315, Department of Economics, Norwegian University of Science and Technology.
    9. Leknes, Stefan, 2015. "The more the merrier? Evidence on quality of life and population size using historical mines," Regional Science and Urban Economics, Elsevier, vol. 54(C), pages 1-17.
    10. Combes, Pierre-Philippe & Gobillon, Laurent, 2015. "The Empirics of Agglomeration Economies," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 247-348, Elsevier.
    11. Bonomi Barufi, Ana Maria & Amaral Haddad, Eduardo & Nijkamp, Peter, 2016. "Should I Stay or Should I Go? Selection on Migration and Learning in Cities in Brazil," TD NEREUS 1-2016, Núcleo de Economia Regional e Urbana da Universidade de São Paulo (NEREUS).
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    More about this item

    Keywords

    Agglomeration economies; sorting; education; worker experience;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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