Research

We develop a framework for how firm productivity impacts wages under imperfect competition, finding that labor market power and adjustment costs reduce passthrough and lower wage volatility by 77%.

We characterize Norwegian earnings dynamics and their intergenerational transmission, showing that children of high-income fathers face more volatile but positively skewed income paths, while children of poorer fathers face higher downside risk.

I argue that skill-biased technical change and falling capital prices explain three-quarters of the decline in U.S. entrepreneurship by raising the returns to high-skill wage employment.