OSHA Enforcement, Industrial Compliance and Workplace Injuries
This paper develops and tests a three-equation simultaneous model of OSHA enforcement behavior, industrial compliance and workplace injuries. The enforcement equation is based on the assumption that OSHA acts as a political institution that gains support through the transfer of wealth from firms to employees; the empirical results are largely consistent with this notion. Contrary to previous work, we find that OSHA enforcement efforts have, indeed, had a statistically significant impact on industrial compliance and, further, that this compliance has led to a statistically significant decrease in worker injuries. The point estimate of the elasticity of the lost workday rate with respect to the OSHA inspection rate is -.04.
|Date of creation:||Aug 1982|
|Date of revision:|
|Publication status:||published as Bartel, Ann P. and Lacy Glenn Thomas. "Direct and Indirect Effects of Regulation: A New Look at OSHA's Impact." Journal of Law and Economics, Vol. 28, No. 1, (April 1985), pp. 1-25.|
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- Richard A. Posner, 1971. "Taxation by Regulation," Bell Journal of Economics, The RAND Corporation, vol. 2(1), pages 22-50, Spring.
- Borjas, George J, 1980. "Wage Determination in the Federal Government: The Role of Constituents and Bureaucrats," Journal of Political Economy, University of Chicago Press, vol. 88(6), pages 1110-47, December.
- Jordan, William A, 1972. "Producer Protection, Prior Market Structure and the Effects of Government Regulation," Journal of Law and Economics, University of Chicago Press, vol. 15(1), pages 151-76, April.
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