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Efficient Hierarchies: Equivalence Under Differing Employment Regimes

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Author Info

  • Meagher, K.J.

Abstract

A major criticism of the information processing hierarchy model of management structure pioneered by Radner and Van Zandt is that it is unrealistic in its description of labor. This paper shows how the existing model can be extende to use labor hours instead of just the number of people employed. This allows the analysis of hierarchies to include realistic employment regimes such as salaries and piece rates. The sets of efficient hierarchies under these new, more realistic employment regimes are derived.

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Bibliographic Info

Paper provided by Australian National University - Department of Economics in its series Papers with number 309.

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Length: 30 pages
Date of creation: 1996
Date of revision:
Handle: RePEc:fth:aunaec:309

Contact details of provider:
Postal: THE AUSTRALIAN NATIONAL UNIVERSITY, DEPARTMENT OF ECONOMICS, RESEARCH SCHOOL of PACIFIC STUDIES, RESEARCH SCHOOL OF SOCIAL SCIENCES, G.P.O. 4, CANBERRA ACT 2601 AUSTRALIA..O. BOX 4 CANBERRA 2601 AUSTRALIA.
Web page: http://economics.anu.edu.au/economics.htm
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Related research

Keywords: EMPLOYMENT; INFORMATION; LABOUR MARKET;

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Cited by:
  1. GrĂ¼ner, Hans Peter, 2009. "Information technology: Efficient restructuring and the productivity puzzle," Journal of Economic Behavior & Organization, Elsevier, vol. 72(3), pages 916-929, December.

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