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Abstract

The aim of this study is to obtain estimates of the impact of worker compensation premiums on employment in Tasmania. To do so it proposes a basic reduced form employment
equation as a function of wages, output, time and lagged employment using lags and Australian output figures as instruments. Using quarterly time series an estimate of the wage elasticity of employment for Tasmania over 1984.3 to 2008.1 is obtained that is comparable to other Australian employment studies. It also estimates an annual panel model across 3-digit industries together with worker compensation premium data to obtain a direct estimate of the impact of worker compensation premium on employment across Tasmania and also at a 1-digit industry level from 1992 to 2008.

Item Type:	Report (Discussion Paper)
Authors/Creators:	Blacklow, P
Keywords:	wage elasticity of employment, worker's compensation premiums, repec
Publisher:	School of Economics and Finance, University of Tasmania
Item Statistics:	View statistics for this item

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