Artikel
Can insider power affect employment?
Do firms reduce employment when their insiders (established, incumbent employees) claim higher wages? The conventional answer in the theoretical literature is that insider power has no influence on employment, provided that the newly hired employees (entrants) receive their reservation wages. The reason given is that an increase in insider wages gives rise to a countervailing fall in reservation wages, leaving the present value of wage costs unchanged. Our analysis contradicts this conventional answer. We show that, in the context of a stochastic model of the labor market, an increase in insider wages promotes firing in recessions, while leaving hiring in booms unchanged. Thereby insider power reduces average employment.
- Sprache
-
Englisch
- Erschienen in
-
Journal: German economic review ; ISSN: 1465-6485 ; Volume: 4 ; Year: 2003 ; Issue: 2 ; Pages: 139-150 ; Oxford: Blackwell
- Klassifikation
-
Wirtschaft
Labor Force and Employment, Size, and Structure
Labor Demand
Wage Level and Structure; Wage Differentials
Nonwage Labor Costs and Benefits; Retirement Plans; Private Pensions
Compensation Packages; Payment Methods
- Thema
-
Employment
Wage determination
market power
insiders
hiring and firing costs
Lohnstruktur
Insider-Outsider-Modell
Arbeitsuche
Anspruchslohn
Marktmacht
Theorie
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Díaz-Vázquez, Pilar
Snower, Dennis J.
- Ereignis
-
Veröffentlichung
- (wer)
-
Blackwell
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften, Leibniz-Informationszentrum Wirtschaft
- (wo)
-
Oxford
- (wann)
-
2003
- DOI
-
doi:10.1111/1468-0475.00076
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:43 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Artikel
Beteiligte
- Díaz-Vázquez, Pilar
- Snower, Dennis J.
- Blackwell
- ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften, Leibniz-Informationszentrum Wirtschaft
Entstanden
- 2003
Ähnliche Objekte (12)
Can insider power affect employment?
Can insider power affect employment?
The effectiveness of employment vouchers: a simple approach
Hyperbolic discounting and the Phillips curve
Working, watching, and waiting : women and issues of access, employment, and decision-making in the media
Creating employment incentives
Hysteria male / hysteria female: reflections on comparative gender construction in nineteenth-century France and Britain
Poetic politics: how the Amazons took the Acropolis
Modernity and lesbian identity in the later works of Nicole Brossard
Under the covers: a synesthesia of desire (lesbian translations)
On the human reproductive organs : an annotated translation of "Tractatus de vororum organis generationi inservientibus (1668)" and "De mulierum organis generationi inservientibus tractatus novus (1672)"
The narcissistic woman: Freud and Girard
Can insider power affect employment?
Can insider power affect employment?
The effectiveness of employment vouchers: a simple approach
Hyperbolic discounting and the Phillips curve
Working, watching, and waiting : women and issues of access, employment, and decision-making in the media
Creating employment incentives
Hysteria male / hysteria female: reflections on comparative gender construction in nineteenth-century France and Britain
Poetic politics: how the Amazons took the Acropolis
Modernity and lesbian identity in the later works of Nicole Brossard
Under the covers: a synesthesia of desire (lesbian translations)
On the human reproductive organs : an annotated translation of "Tractatus de vororum organis generationi inservientibus (1668)" and "De mulierum organis generationi inservientibus tractatus novus (1672)"
The narcissistic woman: Freud and Girard
Can insider power affect employment?
Can insider power affect employment?
The effectiveness of employment vouchers: a simple approach
Hyperbolic discounting and the Phillips curve
Working, watching, and waiting : women and issues of access, employment, and decision-making in the media
Creating employment incentives
Hysteria male / hysteria female: reflections on comparative gender construction in nineteenth-century France and Britain
Poetic politics: how the Amazons took the Acropolis
Modernity and lesbian identity in the later works of Nicole Brossard
Under the covers: a synesthesia of desire (lesbian translations)
On the human reproductive organs : an annotated translation of "Tractatus de vororum organis generationi inservientibus (1668)" and "De mulierum organis generationi inservientibus tractatus novus (1672)"