Why Capital Hires Labor: A Bargaining Perspective.

S-Tier
Journal: American Economic Review
Year: 1993
Volume: 83
Issue: 1
Pages: 118-34

Score contribution per author:

8.073 = (α=2.02 / 1 authors) × 4.0x S-tier

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

Abstract

Organizational forms often serve as vehicles for the appropriation of quasi-rent. Capitalist firms typically emerge when production requires noncontractible investments in specific physical assets because worker control would divert quasi-rents away from ass et owners ex post. Conversely, labor-managed firms tend to emerge in niches requiring specialized human capital but general-purpose physi cal assets. A key result is that capitalist firms can persist in competitive markets even when labor-managed firms would yield a larg er total surplus. Copyright 1993 by American Economic Association.

Technical Details

RePEc Handle
repec:aea:aecrev:v:83:y:1993:i:1:p:118-34
Journal Field
General
Author Count
1
Added to Database
2026-01-25