A Feasible Equilibrium Search Model of Individual Wage Dynamics with Experience Accumulation

@inproceedings{Bagger2006AFE,
  title={A Feasible Equilibrium Search Model of Individual Wage Dynamics with Experience Accumulation},
  author={Jesper Bagger},
  year={2006}
}
We present a tractable equilibrium job search model of individual worker careers allowing for human capital accumulation, employer heterogeneity and individual-level shocks. We estimate our structural model on a panel of Danish matched employer-employee data and use it to analyze the determinants of individual wage dynamics. Our main motivation for doing this is to quantify the respective roles of human capital accumulation coming along with work experience and the forces of labor market… CONTINUE READING

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