6. Will businesses change in order to become eligible?
Behavioural responses are inevitable. JobKeeper creates incentives for firms to force down turnover to get access to the payments
And it might induce firms to pay their workers the flat $1,500 per fortnight even if they can afford to pay and would ordinarily pay more – not the best outcome.
Rebecca Cassells, is the Associate Professor, Bankwest Curtin Economics Centre, Curtin University and Alan Duncan, Director, Bankwest Curtin Economics Centre, and Bankwest Research Chair in Economic Policy, Curtin University
This article is republished from The Conversation under a Creative Commons license. Read the original article.
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