Melbourne Institute of Applied Economic and Social Research - Research Publications

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    Work-Related Training and the Probability of Transitioning from Non-Permanent to Permanent Employment
    Mcvicar, D ; Wooden, M ; Leung, F ; Li, N (Wiley, 2016-01-01)
    It is widely believed that work-related training increases a worker's probability of moving up the job-quality ladder. This is usually couched in terms of effects on wages, but it has also been argued that training increases the probability of moving from non-permanent forms of employment to more permanent employment. This hypothesis is tested using nationally representative panel data for Australia, a country where the incidence of non-permanent employment, and especially casual employment, is high by international standards. While a positive association between participation in work-related training and the subsequent probability of moving from either casual or fixed-term contract employment to permanent employment is observed among men, this is shown to be driven not by a causal impact of training on transitions but by differences between those who do and do not receive training, that is selection bias.
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    Ageing, Death and Life Satisfaction: Evidence from the Household, Income and Labour Dynamics in Australia Survey
    Wooden, M ; Li, N (Wiley, 2016-12-01)
    Does subjective well-being rise or fall with age or are most people, especially those in old age, sufficiently resilient that levels of subjective well-being are very stable over the life course? This article uses longitudinal data from the Household, Income and Labour Dynamics in Australia Survey and finds that self-reported life satisfaction among a large sample of Australians does vary over time. Nevertheless, over much of adulthood—between ages 25 and 65 years—the range in this variation is very small. As people enter old age, however, life satisfaction falls quite sharply. Furthermore, this fall does not appear to be entirely driven by mortality, with the decline beginning many years prior to death.
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    Subjective wellbeing: why weather matters
    Feddersen, J ; Metcalfe, R ; Wooden, M (WILEY, 2016-01)
    Summary The paper reports results from the first ever study of the effect of short-term weather and long-term climate on self-reported life satisfaction that uses longitudinal data. We find robust evidence that day-to-day weather variation impacts self-reported life satisfaction. Utilizing two sources of variation in the cognitive complexity of satisfaction questions, we present evidence that weather effects arise because of the cognitive challenge of reporting life satisfaction. We do not detect a relationship between long-term climate and self-reported life satisfaction by using an individual fixed effects specification, which identifies climate impacts through individuals moving location.
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    Sickness absence and mental health: evidence from a nationally representative longitudinal survey
    Wooden, M ; Bubonya, M ; Cobb-Clark, D (SCANDINAVIAN JOURNAL WORK ENVIRONMENT & HEALTH, 2016-05)
    OBJECTIVES: Previous studies have consistently reported evidence of large significant associations between measures of psychological health and sickness absence. Some of this association, however, may be confounded by relevant covariates that have not been controlled. By using data with repeated observations from the same individuals, this study aimed to quantify the bias due to unobserved characteristics that are time invariant. METHODS: Longitudinal data from the Household, Income, and Labour Dynamics in Australia (HILDA) Survey were used to estimate negative binomial regression models of the number of annual paid sickness absence days. Observations spanning the period 2005-2012, and covering all employed persons aged 15-64 years, were used (56 348 observations from 13 622 individuals). RESULTS: Significant associations between the number of paid sickness absence days taken each year and scores on the mental health subscale of the SF-36 (MHI-5) were found. Inclusion of correlated random effects (which effectively control for unobserved person-specific factors that do not vary over time), however, resulted in a marked decline in the magnitude of this association. For persons with severe depressive symptoms (MHI-5 ≤52), the estimated incidence rate ratios were in the range 1.13-1.14 for men and 1.10-1.12 for women. CONCLUSIONS: Poor mental health is a risk factor affecting work attendance, but the magnitude of this effect, at least in a country where the rate of sickness absence is relatively low, is modest.