Shapiro and Stiglitz model on efficiency wages shows that worker owned firms perform higher levels of wage and employment than in investor owner firms, but empirical evidence doesn’t support the first result. Starting by the economic literature on workers cooperatives we extend the Shapiro and Stiglitz’s analysis by introducing horizontal control among worker members and employer opportunism. Our results reconcile theory and empirical record showing how in cooperatives both unemployment and wages can be lower than in investor owned companies
Equilibrium unemployment as a worker insurance device: Worker insurance and wage setting in worker owned enterprises / Albanese, Marina; Cecilia, Navarra; Ermanno, Tortia. - (2017). (Intervento presentato al convegno The Political Economy of Inequalities and Instabilities in the 21st Century tenutosi a Berlin School of Economics. Berlino nel 13-15 settembre).
Equilibrium unemployment as a worker insurance device: Worker insurance and wage setting in worker owned enterprises
ALBANESE, MARINA;
2017
Abstract
Shapiro and Stiglitz model on efficiency wages shows that worker owned firms perform higher levels of wage and employment than in investor owner firms, but empirical evidence doesn’t support the first result. Starting by the economic literature on workers cooperatives we extend the Shapiro and Stiglitz’s analysis by introducing horizontal control among worker members and employer opportunism. Our results reconcile theory and empirical record showing how in cooperatives both unemployment and wages can be lower than in investor owned companiesI documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
