MARC Record from Library of Congress

LEADER: 02109cam a22003017a 4500
001 2005617072
003 DLC
005 20050418110741.0
007 cr |||||||||||
008 050412s2004 gw sb 000 0 eng
010 $a 2005617072
040 $aDLC$cDLC
050 00 $aHD5701
100 1 $aMunasinghe, Lalith.
245 10 $aWage dynamics and unobserved heterogeneity$h[electronic resource] :$btime preference or learning ability? /$cby Lalith Munasinghe, Nachum Sicherman.
260 $aBonn, Germany :$bIZA,$c[2004]
490 1 $aDiscussion paper ;$vno. 1436
538 $aSystem requirements: Adobe Acrobat Reader.
538 $aMode of access: World Wide Web.
500 $aTitle from PDF file as viewed on 4/12/2005.
530 $aAlso available in print.
504 $aIncludes bibliographical references.
520 3 $a"A large fraction of the variation in wage levels and wage growth rates among individuals remains unexplained. Economists argue that "unobserved" heterogeneity is among the more likely reasons for this unexplained variation in wages. The source of individual heterogeneity is typically attributed to data limitations and the unobservability of certain productivity related factors. In this paper we present a theory of career choice and derive a discriminating test between two inherently unobservable sources of heterogeneity -- learning ability and workers' inter-temporal preferences (discounting) -- both of which can clearly account for the variation in wage levels and wage growth rates. We apply this test to the large observed differences in wages and wage growth rates between smokers and non-smokers. The empirical evidence suggests that smoking is a proxy for individual discount rates"--Forschungsinstitut zur Zukunft der Arbeit web site.
650 0 $aWages$xEconometric models.
650 0 $aWages$xEffect of education on$xEconometric models.
700 1 $aSicherman, Nachum.
830 0 $aDiscussion paper (Forschungsinstitut zur Zukunft der Arbeit : Online) ;$vno. 1436
856 40 $uhttp://www.iza.org/en/webcontent/publications/papers/viewAbstract?dp_id=1436