On Compatibility of Unionized Labor
High- and low-quality workers are organized in their respective unions. Downward compatibility of high-quality workers enhances the perceived work qualities of both groups and increases the demand for low-quality workers. An equilibrium exists so that both unions prefer that high-quality workers are allowed to do the job of members of union of the low-quality workers. The social evaluation of this result is however ambiguous, depending in the size of the exogenous parameters of the model which is used for the analysis.
Year of publication: |
1999
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Authors: | Holler, Manfred J. ; Layes, Birgit ; Winckler, Ralf |
Published in: |
Homo Oeconomicus. - Institute of SocioEconomics. - Vol. 15.1999, p. 369-378
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Publisher: |
Institute of SocioEconomics |
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