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Analysing workplace safety policies in hong kong with a simulation method

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Author Info

  • Xiangdong Wei
  • Steve Russell
  • Robert Sandy

Abstract

Despite its impressive economic performance and high per-capita income, Hong Kong's workplace safety record lags behind leading industrial countries. This paper develops a computable equilibrium model of workplace safety in Hong Kong that predicts the changes in safety levels after substantial policy modifications. We find that accident rates would fall if workers' compensation insurance was more experience-rated or if fines for violations of the safety codes were raised. We also find that a progressive injury tax aimed at accident-prone firms would sharply lower the accident rate. In contrast, large increases in workers' compensation benefits have only a minor effect on the safety level.

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File URL: http://www.tandfonline.com/doi/abs/10.1080/10168730500080493
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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal International Economic Journal.

Volume (Year): 19 (2005)
Issue (Month): 2 ()
Pages: 321-353

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Handle: RePEc:taf:intecj:v:19:y:2005:i:2:p:321-353

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Web page: http://www.tandfonline.com/RIEJ20

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Related research

Keywords: Compensating differentials; workplace safety; computable equilibrium model;

References

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  1. Xiangdong Wei, 1999. "Estimating British workers' demand for safety," Applied Economics, Taylor & Francis Journals, vol. 31(10), pages 1265-1271.
  2. W. Kip Viscusi & Joseph E. Aldy, 2003. "The Value of a Statistical Life: A Critical Review of Market Estimates throughout the World," NBER Working Papers 9487, National Bureau of Economic Research, Inc.
  3. John W. Ruser, 1985. "Workers' Compensation Insurance, Experience-Rating, and Occupational Injuries," RAND Journal of Economics, The RAND Corporation, vol. 16(4), pages 487-503, Winter.
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Cited by:
  1. Grazier, S. & Sloane, P.J., 2008. "Accident risk, gender, family status and occupational choice in the UK," Labour Economics, Elsevier, vol. 15(5), pages 938-957, October.

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