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Wage mobility, Job mobility and Spatial mobility in the Portuguese economy

By Nuno M. O. Romão and Vitor M. A. Escaria

Abstract

This paper intends to analyse to what extent does a worker who, along with a job move undergoes a spatial move, gain a wage increase. For that matter, a sample of Quadros de Pessoal is used with information gathered regarding all the workers that are part of those tables, simultaneously for the years 1997 and 1998 as well as their working places. This information is initially used to carry out a bivariate analysis allowing characterizing the workers that change jobs, those who change working places and those who experience both changes. Afterwards, a wage equation is estimated, namely an Augmented Mincer Equation, taking into account both the hourly wage and the wage, making it possible to verify the influence of spatial mobility (through three levels of mobility, according to the distance between the old and new jobs) on the wage. In fact, the results of these estimations suggest that the longer the distance between the old and the new job, higher wage the moving worker will get. KEYWORDS Wage mobility, job mobility, spatial mobility, Portugal JEL Classification: J31, J61, J62, R23

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