Limited Mobility Bias explains why positive assortative matching is not observed in the empirical literature. Using German social security records, we estimate the correlation between worker and firm contributions to wage equations and find that it is unambiguously positive.
No takes yet. Share an insight, caveat, or question.
Andrews et al. (2012) studied this question.
Synapse has enriched 2 closely related papers on similar clinical questions. Consider them for comparative context: