Joachim Wagner () (Universitaet Lueneburg) Thorsten Schank () (Universitaet Erlangen-Nuernberg) Claus Schnabel () (Universitaet Erlangen-Nuernberg) John T. Addison () (University of South Carolina)
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Using OLS and quantile regression methods and rich cross-section data sets for western and eastern Germany, this paper demonstrates that the impact of works council presence on labor productivity varies between manufacturing and services, between plants that are or are not covered by collective bargaining, and along the conditional distribution of labor productivity. No productivity effects of works councils are found for the service sector and in manufacturing plants not covered by collective bargaining. Besides demonstrating that it is important to look at evidence based on more than one data set, our empirical findings point to the efficacy of supplementing OLS with quantile regression estimates when investigating the behavior of heterogeneous plants.
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Article provided by Justus-Liebig University Giessen, Department of Statistics and Economics in its journal Journal of Economics and Statistics.
Volume (Year): 226 (2006) Issue (Month): 5 (September) Pages: 505-518 Download reference. The following formats are available: HTML
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Find related papers by JEL classification: J50 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - General
References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
Richard B. Freeman & Edward P. Lazear, 1995.
"An Economic Analysis of Works Councils,"
NBER Chapters,
in: Works Councils: Consultation, Representation, and Cooperation in Industrial Relations, pages 27-52
National Bureau of Economic Research, Inc.
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