Estimation of a Roy/Search/Compensating Differential Model of the Labor Market
劳动力市场中Roy模型、搜寻与补偿性工资差异的综合模型估计
In this paper, we develop a model that captures key components of the Roy model, a search model, compensating differentials, and human capital accumulation on‐the‐job. We establish which components of the model can be non‐parametrically identified and which ones cannot. We estimate the model and use it to assess the relative contribution of the different factors for overall wage inequality. We find that variation in premarket skills (the key feature of the Roy model) is the…