Measurement error and the effects of unions on the compensating differentials for fatal workplace risks

Sandy, R Elliott, RF Siebert, WS Wei, X

R. Sandy et al., Measurement error and the effects of unions on the compensating differentials for fatal workplace risks, J RISK UNC, 23(1), 2001, pp. 33-56

31

INGLESE

Article

Economics

JOURNAL OF RISK AND UNCERTAINTY

0895-5646 → ACNP

23

1

2001

33 - 56

ISI

0895-5646(2001)23:1<33:MEATEO>2.0.ZU;2-V

With essentially the same estimation methods and time period but using diff erent UK data sets and risk measures, Sandy and Elliott (1996) found that n onunion male manual workers had a substantially higher fatal risk premium t han union workers while Siebert and Wei (1994) found the opposite. This pap er attempts to reconcile these conflicting results using the different meas ures of fatal risk employed in these two studies together on the same data set. The conflicting results are due to several types of measurement error. We find substantial miscoding in the employee-reported industry affiliatio n as well as larger errors-in-variables bias in the industry-based risk tha n in the occupation-based risk.