State-Dependence and Stepping Stone Effects of Low Pay Employment in Australia

Lixin Cai

MPRA Paper from University Library of Munich, Germany

Abstract: Using the HILDA Survey, this study examines state-dependence and stepping stone effects of low pay in Australia. The results show that both state-dependence and stepping stone effects of low pay are present after observed and unobserved individual heterogeneity is accounted for. The results also show that, other things being equal, people who are on low pay are more likely to be in employment in the future than those who are either unemployed or not in the labour force. On the other hand, people on low pay do not appear to be more likely to become jobless in the future than those on higher pay.

Keywords: Low pay; stepping stone effects; state dependence; multinomial logit model (search for similar items in EconPapers)
JEL-codes: C35 J31 J38 (search for similar items in EconPapers)
Date: 2013
New Economics Papers: this item is included in nep-lab and nep-lma
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https://mpra.ub.uni-muenchen.de/50522/1/MPRA_paper_50522.pdf original version (application/pdf)

Related works:
Journal Article: State-Dependence and Stepping-Stone Effects of Low-Pay Employment in Australia (2014)
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:50522

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