%0 Report
        %A Dolado, Juan J.
%A Jansen, Marcel
%A Jimeno, Juan F.
        %T On-the-Job Search in a Matching Model with Heterogenous Jobs and Workers
        %D 2003
        %8 2003 Oct
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 886
        %U https://www.iza.org/index.php/publications/dp886
        %X This paper considers a matching model with heterogenous jobs (unskilled and skilled) and
workers (low and high-educated) which allows for on-the-job search by mismatched workers.
The latter are high-educated workers who transitorily accept unskilled jobs and continue to
search for skilled jobs. Our findings show that on-the-job search introduces an additional
source of between and within-group wage inequality. Furthermore, the higher quit rate of
mismatched workers exerts a negative externality on unskilled jobs and weakens the labour
market position of low-educated workers. This last feature changes the effects of skill-biased
technological change and it alters the response of the labour market to shifts in the skill
distribution.
        %K skills
%K job search
%K wage inequality
%K unemployment