Smith, Jennifer C. (1996) Bargaining power and local labour market influences on wage determination. Working Paper. Coventry: University of Warwick, Department of Economics. (Warwick economic research papers.

Preview

PDF WRAP_Smith_455_bpllm.pdf - Requires a PDF viewer such as GSview, Xpdf or Adobe Acrobat Reader Download (336Kb)

Abstract

This paper uses a unique panel of data at the level of the bargaining group to examine aspects of `right-to-manage' models of wage determination. Empirical measures of firms' and unions' bargaining power are identified and found to be important influences on wage setting. The role of union characteristics in wage determination is examined; results confirm their importance and illuminate previous survey findings. Features of the local labour market are shown to affect bargained wages over and above the influence of aggregate factors.

Item Type:	Working or Discussion Paper (Working Paper)
Subjects:	H Social Sciences > HD Industries. Land use. Labor
Divisions:	Faculty of Social Sciences > Economics
Library of Congress Subject Headings (LCSH):	Collective bargaining -- Mathematical models, Panel analysis, Wage bargaining, Wage differentials
Series Name:	Warwick economic research papers
Publisher:	University of Warwick, Department of Economics
Place of Publication:	Coventry
Date:	March 1996
Number:	No.455
Number of Pages:	29
Status:	Not Peer Reviewed
Access rights to Published version:	Open Access
Funder:	Economic and Social Research Council (Great Britain) (ESRC)
Grant number:	F00428725059 (ESRC)
References:	Akerlof, G. A. (1982). \Labor Contracts as Partial Gift Exchange", Quarterly Journal of Economics, vol. 97, pp. 543-69. Beckerman, W., Jenkinson, T. (1990). \Wage Bargaining and Pro¯tability: a Disaggregative Analysis", Labour, vol. 4, pp. 57-77. Binmore, K., Rubinstein, A., Wolinsky, A. (1986). \The Nash Bargaining Solution in Economic Modelling", Rand Journal of Economics, vol. 17, pp. 176-88. Blackaby, D. H., Manning, D. N. (1990). \Earnings, Unemployment and the Regional Employment Structure in Britain", Regional Studies, vol. 24, pp. 529-36. Blanch°ower, D. G., Oswald, A. J. (1994). The Wage Curve, Cambridge, MA: MIT Press. Blanch°ower, D. G., Oswald, A. J., Garrett, M. (1990). \Insider Power in Wage Determination", Economica, vol. 57, pp. 143-70. Breusch, T., Pagan, A. (1979). \A Simple Test for Heteroskedasticity and Random Coe±cient Variation", Econometrica, vol. 47, pp. 1287-94. Carruth, A. A., Oswald, A. J. (1989). Pay Determination And Industrial Prosperity, Clarendon Press, Oxford. Christo¯des, L. N., Oswald, A. J. (1992). \Real Wage Determination and Rent{Sharing in Collective Bargaining Agreements", Quarterly Journal of Economics, vol. 103, pp. 985-1002. Clark, S. J. (1991). \Inventory Accumulation, Wages, and Employment", Economic Journal, vol. 101, pp. 230-8. Clark, S. J. (1993). \The Strategic Use of Inventories in an In¯nite Horizon Model of Wage and Employment Bargaining", Scottish Journal of Political Economy, vol. 40, pp. 165-83. Currie, J., McConnell, S. (1992). \Firm-speci¯c Determinants of the Real Wage", Review of Economics and Statistics, vol. 74, pp. 297-304. Dalmazzo, A. (1992). \Outside Options in a Bargaining Model with Decay in the Size of the Cake", Economics Letters, vol. 40, pp. 417-21. 25 Daniel, W. W. (1976). \Wage Determination in Industry", PEP, vol. 17. Davidson, R., MacKinnon, J. G. (1981). \Several Tests for Model Speci¯cation in the Presence of Multiple Alternatives", Econometrica, vol. 49, pp. 781-93. Denny, K., Machin, S. (1991). \The Role of Pro¯tability and IndustrialWages in Firm-level Wage Determination", Fiscal Studies, vol. 12, pp. 34-45. Doiron, D. J. (1992). \Bargaining Power and Wage-Employment Contracts in a Unionized Industry", International Economic Review, vol. 33, pp. 538-606. Forslund, A. (1994). \Wage Setting at the Firm Level |Insider versus Outsider Forces", Oxford Economic Papers, vol. 46, pp. 228-44. Gregg, P., Yates, A. (1991). \Changes in Wage-setting Arrangements and Trade Union Presence in the 1980s", British Journal of Industrial Relations, vol. 29, pp. 361-76. Gregory, M., Lobban, P., Thompson, A. (1986). \Bargaining Structure, Pay Settlements and Perceived Pressures in Manufacturing 1979-84: Further Evidence from the CBI Databank", British Journal of Industrial Relations, vol. 24, pp. 215-32. Gregory, M., Lobban, P., Thompson, A. (1987). \Pay Settlements in Manufacturing Industry, 1979-84: a Micro-data Study of the Impact of Product and Labour Market Pressures", Oxford Bulletin of Economics and Statistics, vol. 49, pp. 129-50. Harris, J. R., Todaro, M. P. (1970). \Migration, Unemployment and Development: a Two-sector Analysis", American Economic Review, vol. 60, pp. 126-42. Hausman, J. A. (1978). \Speci¯cation Tests in Econometrics", Econometrica, vol. 46, pp. 1251-71. Hildreth, A. K. G., Oswald, A. J. (forthcoming). \Rent Sharing and Wages: Evidence from Company and Establishment Panels", Journal of Labor Economics. Hsaio, C. (1986). Analysis of Panel Data, Econometric Society Monograph, CUP, Cambridge. Hughes, G., McCormick, B. (1987). \Housing markets, unemployment and labour market °exibility in the UK", European Economic Review, vol. 31, pp. 615-45. Layard, R. M. G., Nickell, S. J. (1986). \Unemployment in Britain", Economica, vol. 53, pp. S121-69. 26 Layard, R. M. G., Nickell, S. J., Jackman, R. L. (1991). Unemployment: Macroeconomic Performance and the Labour Market, Oxford University Press, Oxford. Machin, S., Stewart, M., van Reenen, J. (1991). \The Economic E®ects of Multiple Unionism: Evidence from the 1984 Workplace Industrial Relations Survey", Scandinavian Journal of Economics, vol. 95, pp. 279-96. Manning, A. (1991). \The Determinants of Wage Pressure: Some Implications of a Dynamic Model", Economica, vol. 58, pp. 325-39. Millward, D. N., Stevens, M., Smart, D., Hawes, I. (1992). Workplace Industrial Relations In Transition, Aldershot, Dartmouth. Nickell, S. J., Andrews, M. (1983). \Unions, Real Wages and Employment in Britain, 1951-79", Oxford Economic Papers, vol. 35, pp. 183-206. Nickell, S. J., Kong, P. (1992). \An Investigation into the Power of Insiders in Wage Determination", European Economic Review, vol. 36, pp. 1573-99. Nickell, S. J., Wadhwani, S. B. (1990). \Insider Forces and Wage Determination", Economic Journal, vol. 100, pp. 496-509. Nickell, S. J., Vainiomaki, J.,Wadhwani, S. B. (1994). \Wages and Product Market Power", Economica, vol. 61, pp. 457-73. Norkett, P. (1986). Guide To Company Information In Great Britain, Longman, London. Roback, J. (1982). \Wages, Rents and the Quality of Life", Journal of Political Economy, vol. 90, pp. 1257-78. Smith, J. C. (1994). Pay Settlements and Company Performance, Ph.D. thesis, University of Cambridge, UK. Summers, L. H. (1988). \Relative Wages, E±ciency Wages, and Keynesian Unemployment", American Economic Association Papers and Proceedings, vol. 78, pp. 383-8.
URI:	http://wrap.warwick.ac.uk/id/eprint/1668

Request changes to a record

Actions (login required)

View Item