IDEAS home Printed from https://ideas.repec.org/p/pri/indrel/176.html
   My bibliography  Save this paper

Uncertainty, Unions and the Theory of Public Sector Labour Markets

Author

Listed:
  • Andrew J Oswald

    (University of Oxford and Princeon University)

  • Paul A Grout

    (University of Birmingham)

  • David T Ulph

    (Bristol University)

Abstract

Although public sector unionism is growing throughout the industrialized nations, and there is widespread interest in the question of how such labor markets operate, little theoretical work has been done on these problems. The paper develops a two sector general equilibrium model in which a government and a public sector union together negotiate an efficient contract. Public sector wages turn out to be sticky compared to those in the private sector, and there is over-employment in the publicly run half of the economy. The model's features are rather different from those in the private contract literature. Extensions of the model to include union-run insurance, endogenous membership, missing capital markets and public goods are also considered.

Suggested Citation

  • Andrew J Oswald & Paul A Grout & David T Ulph, 1984. "Uncertainty, Unions and the Theory of Public Sector Labour Markets," Working Papers 556, Princeton University, Department of Economics, Industrial Relations Section..
    • Handle: RePEc:pri:indrel:176
    as

    Download full text from publisher

    File URL: https://dataspace.princeton.edu/bitstream/88435/dsp01zw12z529m/1/176.pdf
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Gonzalo Fernández-de-Córdoba & Javier Pérez & José Torres, 2012. "Public and private sector wages interactions in a general equilibrium model," Public Choice, Springer, vol. 150(1), pages 309-326, January.
    2. Holmlund, Bertil, 1993. "Wage setting in private and public sectors in a model with endogenous government behavior," European Journal of Political Economy, Elsevier, vol. 9(2), pages 149-162, May.
    3. Gonzalo F. de-Córdoba & Benedetto Molinari & José L. Torres, 2021. "Public Debt Frontier: A Python Toolkit for Analyzing Public Debt Sustainability," Sustainability, MDPI, vol. 13(23), pages 1-25, November.
    4. Gonzalo F. de-Córdoba & José L. Torres, 2016. "Public debt frontiers: The Greek case," Working Papers 2016-03, Universidad de Málaga, Department of Economic Theory, Málaga Economic Theory Research Center.
    5. Gonzalo F. de-Córdoba & Benedetto Molinari & José L. Torres, 2018. "Public Debt Frontier. A toolkit for analyzing fiscal policy and debt sustainability," Working Paper series 18-36, Rimini Centre for Economic Analysis.
    6. Vasilev, Aleksandar, 2013. "Essays on Real Business Cycle Modeling and the Public Sector," EconStor Theses, ZBW - Leibniz Information Centre for Economics, number 130522, July.

    More about this item

    Keywords

    unions; public sector;

    JEL classification:

    • C65 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Miscellaneous Mathematical Tools

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pri:indrel:176. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Bobray Bordelon (email available below). General contact details of provider: https://edirc.repec.org/data/irprius.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.