Efficiency wages and bargaining

C-Tier
Journal: Oxford Economic Papers
Year: 2012
Volume: 64
Issue: 4
Pages: 635-654

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

In contrast to results found in the literature to date this paper shows that the efficiency wage and the wage that solves a bargaining problem will often be independent. If worker bargaining power is weak an efficiency wage equilibrium where bargaining has no affect on the contract emerges. If worker bargaining power is strong we have a bargaining contract that is unaffected by the efficiency wage constraint. Empirical evidence shows that efficiency wage effects matter only for non-union workers. That is workers with weak bargaining power. For workers with stronger bargaining power (unionized workers) there is a significant union wage premium but supervision wage affects are unimportant. Copyright 2012 Oxford University Press 2012 All rights reserved, Oxford University Press.

Technical Details

RePEc Handle
repec:oup:oxecpp:v:64:y:2012:i:4:p:635-654
Journal Field
General
Author Count
1
Added to Database
2026-01-29