Market and spillover forces in wage award determination in Australia: 1986 to 1997

Alison Preston

Applied Economics, 2000, vol. 32, issue 15, 1957-1965

Abstract: This paper examines the role of market and spillover forces in wage award determination in Australia. The results show, consistent with other similar studies, that wage awards are only weakly related to market forces. In the period studied (1986 to 1997) spillover forces emerge as the dominant determinant of award wage adjustments. The results thus provide some empirical evidence for phenomenon such as wage rigidity.

Date: 2000
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DOI: 10.1080/00036840050155887

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