Melbourne Institute Working Paper Series Database (1984 - 2010)

Melbourne Institute Working Paper No. 10/2007

Dynamics of Work-Limitation and Work in Australia

by

Umut Oguzoglu

Date: March 2007

Abstract: This paper examines the impact of self-reported work-limitation on the employment of the Australian working age population. Five consecutive waves of the Household, Income and Labour Dynamics in Australia (HILDA) Survey are used to investigate this relationship. A two-equation dynamic panel data model demonstrates that persistence and unobserved heterogeneity play an important role in the work-limitation reporting and its effect on work. Unobserved factors that jointly drive work-limitation and work are also shown to be crucial, especially for women.

 

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