Referral-Based Job Search Networks

@article{Dustmann2011ReferralBasedJS,
  title={Referral-Based Job Search Networks},
  author={Christian Dustmann and Albrecht Glitz and Uta Sch{\"o}nberg},
  journal={ERN: Search},
  year={2011}
}
This article derives novel testable implications of referral-based job search networks in which employees provide employers with information about potential new hires that they otherwise would not have. Using comprehensive matched employer–employee data covering the entire workforce in one large metropolitan labour market combined with unique survey data linked to administrative records, we provide evidence that workers earn higher wages and are less inclined to leave their firms if they have… 

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