Optimal At‐will Labour Contracts

C-Tier
Journal: Economica
Year: 2001
Volume: 68
Issue: 270
Pages: 187-201

Score contribution per author:

1.005 = (α=2.01 / 1 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

An at‐will employment rule allows parties to sever their employment relationship for ‘a good reason, a bad reason or no reason at all’[Schawb, S. (1993) Life‐cycle justice: accommodating just cause and employment at will. Michigan Law Review, 92, 8‐‐62]. A specific performance employment rule allows any party to force the other party to perform as specified in the contract. Although the theory of labour contracting generally assumes enforcement by specific performance, in practice, the vast majority of non‐union employment relationships are mediated by an at‐will rule. When employment contracts are enforced by an at‐will rule, I show that the ‘standard’ counter‐intuitive predictions generated by standard labour contracting models disappear.

Technical Details

RePEc Handle
repec:bla:econom:v:68:y:2001:i:270:p:187-201
Journal Field
General
Author Count
1
Added to Database
2026-01-26