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There has been a recent surge in papers estimating local multiplier effects. However, existing studies rely on arbitrary periods of observation, limit samples to more populous regions, and commonly use relatively aggregated industrial categories. When we address these and other methodological issues, we find that, in the United States, each new traded sector job adds half a nontraded job to a local economy, and that the addition of each high‐tech job adds less than one job to the local nontraded sector. Furthermore, we find that the multiplier effect of the manufacturing sector is no higher than the multiplier effect of the average traded sector. We provide robust evidence that higher‐paying traded sectors yield more nontraded jobs than lower paying sectors, and that multiplier effects are higher in larger cities. Furthermore, we generate IV estimates that remedy weak instrument problems in the existing multipliers literature. These findings offer needed clarity on the likely employment impacts of incentive policies aimed at attracting industries in the traded sector of the economy. [ABSTRACT FROM AUTHOR]

ABSTRACT In this paper, we examine the causal impact of enforceable covenants not to compete (CNCs) on labor market matching and the technological dynamism of regions. Exploiting the fact that the Michigan Antitrust Reform Act (MARA) of 1985 inadvertently repealed Michigan' s prohibition on CNC enforcement, we show that technical professionals in Michigan became increasingly likely to switch industry relative to similar workers in other U.S. states after prohibition. Workers switching industries after the introduction of MARA also earned lower wages, implying that they shifted into technical fields where their skills from previous employment were less productive. Estimates further show that the technological dynamism of Michigan declined in tandem, as fewer workers shifted into new types of jobs associated with recent technological advances. These findings are consistent with the view that skilled professionals that are subject to CNCs are more likely to leave their field of work postemployment to avoid lawsuits. [ABSTRACT FROM AUTHOR]

This paper examines the effects of knowledge about a wide variety of subjects on the wages and salaries of U.S. workers. Knowing a lot about topics such as medicine and dentistry, engineering and technology, and production and processing has a positive effect on individual earnings, whereas high knowledge in the areas of food production and personnel and human resources is not rewarded in the labor market. Spillover effects, where the share of metropolitan area employment in high-knowledge occupations enhances earnings, were uncovered primarily in subjects related to producer services and information technology. [ABSTRACT FROM AUTHOR]

In this paper's model, undocumented workers are endogenously sorted into secondary labor markets. When further illegal immigration occurs, some new migrants follow their fellows into already migrant-dominated jobs, lowering migrant wages and raising real incomes of host-country labor and capital. Some submarkets switch from employing legal workers to employing migrants, lowering demand for and wages of legal workers. Undocumented immigration is Pareto-improving when enforcement reserves primary-sector jobs for legal workers. Pareto-dominant policies target the number of migrant-dominated submarkets, not the number of migrants. This appears consistent with U.S. enforcement practices. The effects of deportations, employer sanctions, and amnesties are explored. [ABSTRACT FROM AUTHOR]