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    Labour market models of unemployment in Australia

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    Labour market models of unemployment in Australia (188.0Kb)

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    Author
    Borland, Jeff; MCDONALD, IAN
    Date
    2000-09
    University of Melbourne Author/s
    Borland, Jeffrey
    Affiliation
    Economics and Commerce: Melbourne Institute of Applied Economic and Social Research
    Metadata
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    Document Type
    Preprint
    Citations
    Borland, Jeff and McDonald, Ian (2000) Labour market models of unemployment in Australia.
    Access Status
    Open Access
    URI
    http://hdl.handle.net/11343/33630
    Description

    This paper is the result of work being undertaken as part of a collaborative research program entitled 'Unemployment: Economic Analysis and Policy Modelling'. The project is generously supported by the Australian Research Council and the following collaborative partners: Commonwealth Department of Family and Community Services, Commonwealth Department of Employment, Workplace Relations and Small Business and the Productivity Commission. The views expressed in this paper represent those of the authors and are not necessarily the views of the collaborative partners. ISBN 073401497X, ISSN 13284991

    Abstract
    This paper reviews evidence on the equilibrium rate of unemployment and on causes of unemployment in Australia from empirical modelling of labour market outcomes. Three main types of models are reviewed - Phillips curve models; Multi-equation models; and Beveridge curve models. The paper begins with a simple review of labour market theory in order to provide some motivation for the empirical approaches that are examined. In the main part of the paper the three modelling approaches are reviewed. For each model the estimation methodology is described, main results on causes of unemployment from that approach are summarised, and an evaluation of the model is made.
    Keywords
    labour market; unemployment

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