Helper, Susan; Henderson, Rebecca - In: Journal of Economic Perspectives 28 (2014) 1, pp. 49-72
General Motors was once regarded as the best-managed and most successful firm in the world. However, between 1980 and 2009, GM's US market share fell from 46 to 20 percent, and in 2009 the firm went bankrupt. We argue that the conventional explanation for this decline?namely high legacy labor...