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Evaluation of the Australian Wage Subsidy Special Youth ...

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99<br />

suitability <strong>of</strong> <strong>the</strong> underlying assumption <strong>of</strong> <strong>the</strong> bivariate normal distribution for <strong>the</strong> errors<br />

in <strong>the</strong> participation and employment equations.<br />

3.3 Data and variables used for estimation<br />

The first stage <strong>of</strong> <strong>the</strong> replication, whereby <strong>the</strong> variables used in <strong>the</strong> analysis are reconstructed,<br />

is made easier by access to <strong>the</strong> final data set used as <strong>the</strong> basis for <strong>the</strong><br />

Richardson (1998) analysis. 61 It was pointed out by Dewald et al. (1986) that access to<br />

<strong>the</strong> author’s data, with <strong>the</strong> variables in <strong>the</strong> final form used for <strong>the</strong> analysis, is an<br />

invaluable assistance in replication, but observed that this was an unusual occurrence.<br />

They attributed this to angst held by authors as <strong>the</strong>y “…may interpret <strong>the</strong> very act <strong>of</strong><br />

replication as a challenge to <strong>the</strong>ir pr<strong>of</strong>essional competence and integrity” (Dewald et al.<br />

(1986): 601). In light <strong>of</strong> this, <strong>the</strong> access granted by <strong>the</strong> author James Richardson is<br />

strongly appreciated.<br />

As a result <strong>of</strong> access to <strong>the</strong> transformed data, replicating <strong>the</strong> exact construction <strong>of</strong> <strong>the</strong><br />

variables is simplified. This would normally be an exacting task, as <strong>the</strong> construction <strong>of</strong><br />

complex variables such as those derived from <strong>the</strong> work history is extremely difficult to<br />

repeat without <strong>the</strong> exact details <strong>of</strong> construction, and even <strong>the</strong> exact syntax coding. Any<br />

variation in construction would make replication far more difficult, and overcoming this<br />

hurdle also allows interpretation <strong>of</strong> <strong>the</strong> replication results to be more precise. It should<br />

not be overlooked that this stage <strong>of</strong> a replication would normally be most difficult. The<br />

variables are described in <strong>the</strong> data appendix.<br />

A brief introduction to <strong>the</strong> data is informative. The <strong>Australian</strong> Longitudinal Survey List<br />

Sample (Mcrae et al. 1984-1987) is used. This was a sample drawn from an<br />

administrative sample frame. The ALS list sample was a nationally representative sample<br />

<strong>of</strong> <strong>Australian</strong> youths aged 15-24 who had been registered as unemployed with <strong>the</strong><br />

Commonwealth Employment Service for at least 3 months in June 1984. The 1984<br />

survey took place with interviews between September 1984 and November 1984. The<br />

survey was repeated in each <strong>of</strong> <strong>the</strong> later years 1985, 1986 and 1987, following up where<br />

61 The data were transformed from <strong>the</strong> ALS original SPSS files in extensive STATA processing by<br />

Lorraine Dearden, Alex Heath, Henry Overman, and James Richardson.

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