Sorting It Out: International Trade with Heterogeneous Workers

摘要: Each worker brings a bundle of skills to the workplace, for example, quantitative and communication skills. Since employers must take this as package deal, they choose workers with just right mix We show that international differences in distribution skill bundles—for Japan’s abundance modest both teamwork skills—have important implications trade, industrial structure, domestic income distribution. Formally, we model two‐dimensional heterogeneity second moments are critical, Roy model.