4 papers
Generalized AKM: Flexible Controls and Interactions in Wage Decompositions
Francesco Del Prato, Yaroslav Korobka, Paolo Zacchia
How much wage dispersion is attributed to workers, firms, and their sorting depends on how wages are adjusted for observed characteristics. Standard AKM decompositions impose a kno…
TWICE: Tree-based Wage Inference with Clustering and Estimation
Aslan Bakirov, Francesco Del Prato, Paolo Zacchia
How much do worker skills, firm pay policies, and their interaction contribute to wage inequality? Standard approaches rely on latent fixed effects identified through worker mobili…
Staged Entry
Francesco Del Prato, Paolo Zacchia
We develop a model of staged entry: to operate, monopolistically competitive firms must pay two sequential entry costs, each time acquiring a more informative signal of future perf…
Workers as Partners: a Theory of Responsible Firms in Labor Markets
Francesco Del Prato, Marc Fleurbaey
What happens when employers value worker welfare in frictional labor markets? We show this "responsibility" creates an endogenous wedge in the marginal labor cost -- akin to a hiri…