The model of job search involves both employer matches and career matches.
Workers may change employers without changing careers but cannot search ove
r possible lines of work while working for one employer. The optimal policy
implies a two-stage search strategy in which workers search over types of
work first. The patterns of job changes observed in the National Longitudin
al Survey of Youth support this two-stage search policy. Among male workers
who are changing jobs, those who have previously changed employers while w
orking in their current career are much less likely to change careers durin
g the current job change.