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Job Creation and Job Destruction in Manufacturing Industry in Australia

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  • JEFF BORLAND

Abstract

This paper studies properties of employment flows between disaggregated sectors of manufacturing industry in Australia for 1978–79 to 1991–92. Measures of job creation, job destruction and employment reallocation are calculated and the magnitude, correlation and cyclicality of these measures of employment flows are examined. An analysis of the sources of aggregate employment reallocation considers the effects of inter‐ and intra‐sectoral employment flows, and of aggregate and sectoral‐level factors. The consequences of employment reallocation for unemployment outcomes in Australia are also examined.

Suggested Citation

  • Jeff Borland, 1996. "Job Creation and Job Destruction in Manufacturing Industry in Australia," The Economic Record, The Economic Society of Australia, vol. 72(216), pages 46-62, March.
    • Handle: RePEc:bla:ecorec:v:72:y:1996:i:216:p:46-62
    DOI: 10.1111/j.1475-4932.1996.tb02608.x
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    References listed on IDEAS

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    1. R. Dixon, 1982. "Variations in the Composition of Manufacturing Employment in the Australian Economy," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 15(3), pages 33-42, November.
    2. Lilien, David M, 1982. "Sectoral Shifts and Cyclical Unemployment," Journal of Political Economy, University of Chicago Press, vol. 90(4), pages 777-793, August.
    3. Joseph A. Ritter, 1994. "Job creation and destruction: the dominance of manufacturing," Review, Federal Reserve Bank of St. Louis, issue Sep, pages 3-12.
    4. Steven J. Davis & John Haltiwanger, 1998. "Measuring Gross Worker and Job Flows," NBER Chapters, in: Labor Statistics Measurement Issues, pages 77-122, National Bureau of Economic Research, Inc.
    5. Steven J. Davis & John Haltiwanger, 1992. "Gross Job Creation, Gross Job Destruction, and Employment Reallocation," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 107(3), pages 819-863.
    6. Jerome Fahrer & Andrew Pease, 1993. "The Unemployment/Vacancy Relationship in Australia," RBA Research Discussion Papers rdp9305, Reserve Bank of Australia.
    7. Abraham, Katharine G & Katz, Lawrence F, 1986. "Cyclical Unemployment: Sectoral Shifts or Aggregate Disturbances?," Journal of Political Economy, University of Chicago Press, vol. 94(3), pages 507-522, June.
    8. John Baldwin & Timothy Dunne & John Haltiwanger, 1998. "A Comparison Of Job Creation And Job Destruction In Canada And The United States," The Review of Economics and Statistics, MIT Press, vol. 80(3), pages 347-356, August.
    9. repec:bla:ecorec:v:61:y:1985:i:173:p:516-21 is not listed on IDEAS
    10. Peter Dawkins & Mark Wooden, 1985. "Labour Utilization and Wage Inflation in Australia: An Empirical Examination," The Economic Record, The Economic Society of Australia, vol. 61(2), pages 516-521, June.
    11. Jerome Fahrer & Andrew Pease, 1993. "The Unemployment‐Vacancy Relationship in Australia," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 26(4), pages 43-57, October.
    12. A. H. Harris & G. A. Wood & T. Armstrong, 1993. "The Role of Government Assistance in Structural Change in Manufacturing: Australian Evidence," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 26(3), pages 45-55, July.
    13. Harris, A.H. & Wood, G.A., 1991. "Structural Changes in the Manufacturing Sectors of the Australian States," Economic Analysis and Policy, Elsevier, vol. 21(2), pages 147-158.
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    Cited by:

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    2. Karen Mumford & Peter N. Smith, "undated". "Job Reallocation and Average Job Tenure: Theory and Workplace Evidence From Australia," Discussion Papers 00/01, Department of Economics, University of York.
    3. Bruce Chapman & Kiatanantha Lounkaew, 2011. "How Many Jobs is 23,510, Really? Recasting the Mining Job Loss Debate," CCEP Working Papers 1106, Centre for Climate & Energy Policy, Crawford School of Public Policy, The Australian National University.
    4. Carl Davidson & Steven J. Matusz, 2005. "Trade and Turnover: Theory and Evidence," Review of International Economics, Wiley Blackwell, vol. 13(5), pages 861-880, November.
    5. Jordan Shan, 1999. "Immigration and Unemployment: New evidence from Australia and New Zealand," International Review of Applied Economics, Taylor & Francis Journals, vol. 13(2), pages 253-260.
    6. Karen Mumford & Peter N. Smith, 2004. "Job Reallocation, Employment Change And Average Job Tenure: Theory And Workplace Evidence From Australia," Scottish Journal of Political Economy, Scottish Economic Society, vol. 51(3), pages 402-421, August.
    7. Harald Dale-Olsen & Dag Rønningen, 2000. "The Importance of Definitions of Data and Observation Frequen-cies for Job and Worker Flows - Norwegian Experiences 1996-1997," Discussion Papers 278, Statistics Norway, Research Department.

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