We present a model of wage contract violation that implies a possibility of multiple equilibria in the level of arrears … that the firm's costs of wage arrears - as embodied in worker effort, quit and strike behavior, and the probability of … equilibria under symmetric local labor market competition are satisfied in 1995 and 1998. Simulation results imply a late payment …

question through an examination of the widespread practice of wage arrears, the late and non-pay-ment of wages, in Russia … during the 1990s. Existing research on wage arrears most often examines this practice as a means of flexible wage adjustment … under difficult economic conditions. We develop an alternative theory that explains wage arrears through their acceptance as …

"We present a model of neighborhood effects in wage payment delays. Positive feedback arises because each employer … estimates imply that the theoretical conditions for multiple equilibria under symmetric local labor market competition are …