Non-linear Unemployment Effects in Sickness Absence: Discipline or Composition Effects?
AbstractBy applying Smooth Transition Regressions (Teräsvirta, 1998) we test whether effects on short (STA) and long term (LTA) sickness absence depend on the level of unemployment. The main question is to what extent unemployment affects sickness absence through so-called discipline and/or composition effects. The empirical analysis is carried out on time series data referring to blue collar workers in Norway. For LTA we conclude that only discipline effects are present. Concerning STA, none of these effects seems present among women, whereas both effects may be present among men. Non-linear effects of wage and sick pay scheme changes support these conclusions.
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Bibliographic InfoPaper provided by Department of Economics, Norwegian University of Science and Technology in its series Working Paper Series with number 2502.
Length: 24 pages
Date of creation: 01 Feb 2001
Date of revision:
sickness absence; unemployment; non-linear modelling;
Find related papers by JEL classification:
- C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models &bull Diffusion Processes
- J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
- J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods
- J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
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