IDEAS home Printed from https://ideas.repec.org/p/hhs/hastef/0004.html
   My bibliography  Save this paper

The Effect of Economic Incentives on Worker Absenteeism: An Empirical Study Using Swedish Micro Data

Author

Listed:
  • Johansson, Per
  • Palme, Mårten

    (Dept. of Economic Statistics, Stockholm School of Economics)

Abstract

The effect of economic incentives on absenteeism in Sweden is examined. Based on a utility funcion, frequently used in labour supply studies, absenteeism is modelled as an individual day-to-day decision. Implications of compensating wage differentials and efficiency wage hypotheses are discussed. Two data sets are used: survey data from 1981 and an annual panel 1981-1984. The dependent variable is the number of days absent per year for each individual, i.e. the outcomes of the day-to -day decision are aggregated over the time period of one year. Theory consistent models allowing for state dependence or unobserved heterogeneity are derived. Binomial, overdispersed binomial, mixture distribution and Markov chain models are estimated using maximum likelihood and least squares techniques. The results suggest that changes in the compensation level of the sickness insurance and changes in the unemployment rate could explain about 72 per cent of changes in work absence rate 10 years later.

Suggested Citation

  • Johansson, Per & Palme, Mårten, 1994. "The Effect of Economic Incentives on Worker Absenteeism: An Empirical Study Using Swedish Micro Data," SSE/EFI Working Paper Series in Economics and Finance 4, Stockholm School of Economics.
    • Handle: RePEc:hhs:hastef:0004
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Rashid, Saman, 2004. "Married immigrant women and employment.The role of family investments," Umeå Economic Studies 623, Umeå University, Department of Economics.
    2. Thomas Aronsson & James R. Walker, 1997. "The Effects of Sweden's Welfare State on Labor Supply Incentives," NBER Chapters, in: The Welfare State in Transition: Reforming the Swedish Model, pages 203-266, National Bureau of Economic Research, Inc.
    3. Agell, Jonas, 1996. "Why Sweden's Welfare State Needed Reform," Economic Journal, Royal Economic Society, vol. 106(439), pages 1760-1771, November.
    4. Johansson, Per & Palme, Marten, 1996. "Do economic incentives affect work absence? Empirical evidence using Swedish micro data," Journal of Public Economics, Elsevier, vol. 59(2), pages 195-218, February.

    More about this item

    Keywords

    Count data; unobserved heterogeneity; sickness insurance; mixture distribution;
    All these keywords.

    JEL classification:

    • J29 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Other

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hhs:hastef:0004. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Helena Lundin (email available below). General contact details of provider: https://edirc.repec.org/data/erhhsse.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.