Modern economic theory suggests that economies of capitalist societies are based on the melding of the factors of production including land, labor, capital and entrepreneurship. In each industry a relationship exists between the factors of production. This relationship differs based on the nature of the industry and the
industry lifecycle. In each industry, one or more factors serve as an economic driver. In some industries, like the software industry, labor itself is an economic driver.
The C3T Hawaii Predictive Analytic Model for Employment project is a joint initiative between the University of Hawaii Community Colleges and the State of Hawaii Department of Labor and Industrial Relations Research and Statistics Division and funded through the U.S. Department of Labor Employment and Training Division Trade Adjustment and Assistance Community College and Career Training Grant. The project will statistically model the relationship between land, capital, and entrepreneurship with labor in the industry sectors of agriculture, health care and energy in the State of Hawaii.
The model will then apply the staffing pattern data from the U.S. Bureau of Labor Statistics. This will allow the industry models based on NAICS code to predict employment levels within the Standard Occupational Codes (SOC Codes).
The purpose of this project is to construct statistical models utilizing multiple regression to determine if employment levels can be predicted by changes in the non-labor factors of production that are identified in the Policy Planning Workgroups. The knowledge gained from this project will serve a vital role in improving the ability of the State and Counties of Hawaii to proactively plan workforce development initiatives in a dynamic global economy.