Analysing workplace safety policies in Hong Kong with a simulation method

Document Type

Journal article

Source Publication

International Economic Journal

Publication Date

6-1-2005

Volume

19

Issue

2

First Page

321

Last Page

353

Keywords

Compensating differentials, workplace safety, computable equilibrium model

Abstract

Despite its impressive economic performance and high per-capita income, Hong Kong's workplace safety record lags behind leading industrial countries. This paper develops a computable equilibrium model of workplace safety in Hong Kong that predicts the changes in safety levels after substantial policy modifications. We find that accident rates would fall if workers' compensation insurance was more experience-rated or if fines for violations of the safety codes were raised. We also find that a progressive injury tax aimed at accident-prone firms would sharply lower the accident rate. In contrast, large increases in workers' compensation benefits have only a minor effect on the safety level.

DOI

10.1080/10168730500080493

Print ISSN

10168737

E-ISSN

1743517X

Publisher Statement

Copyright © 2005 Routledge

Access to external full text or publisher's version may require subscription.

Full-text Version

Publisher’s Version

Language

English

Recommended Citation

Wei, X., Russell, S., & Sandy, R. (2005). Analysing workplace safety policies in Hong Kong with a simulation method. International Economic Journal, 19(2), 321-353. doi: 10.1080/10168730500080493

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