Life-cycle earnings role of labor market sorting and job mobility

• Autor(a) principal: Costa, Vicente Sousa Machado de Carvalho e
• Data de Publicação: 2019
• Tipo de documento: Dissertação
• Idioma: eng
• Título da fonte: Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
• Texto Completo: http://hdl.handle.net/10362/66784
• topic: Labor market experience; Fixed effects; Wages; Portugal; Domínio/Área Científica::Ciências Sociais::Economia e Gestão

This paper studies how the underlying factors that determine an individual's wage changes over their life-cycle, how these factors change at di erent education levels, and when a worker makes job-to-job moves. Using a longitudinal matched employer-employee data set from the Portuguese Ministry of Labor; I nd that human capital accumulation and job mobility play an important role in wage growth during the beginning of an individual's career. More speci cally, I nd that after 20 years of work wages increase, on average 41%. A large fraction of the returns to labor market experience is rooted in the returns to general training (25%) but sorting into better paying rms and job/titles is responsible for a signi cant 19% and 10% of the returns to labor market experience, respectively. Job-to-job mobility also enhances life-cycle earning (14%), as does the ability of the worker (32%).