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Efficiency wages and endogenous supervision technology

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Author Info
Ferruccio Ponzano ()

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Abstract

Analyses about supervision technology are not frequent in economic literature. This paper analyses an efficiency wage model with an endogenous choice of supervision technology. Starting from Shapiro and Stiglitz (1984) and Bowles (1985) modelsÂ’ I show a model with an endogenous and costly supervision technology to better explain the behaviour of firms and workers under asymmetric information in the labour market. In particular, I show how firms allocate costs between wages and supervision under these hypotheses and how unemployment affects this distribution.

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File URL: http://polis.unipmn.it/pubbl/RePEc/uca/ucapdv/ponzano.pdf
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Paper provided by Department of Public Policy and Public Choice - POLIS in its series P.O.L.I.S. department's Working Papers with number 23.

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Length: 12 pages
Date of creation: Dec 2001
Date of revision:
Handle: RePEc:uca:ucapdv:23

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Find related papers by JEL classification:
D21 - Microeconomics - - Production and Organizations - - - Firm Behavior
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
J64 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Unemployment: Models, Duration, Incidence, and Job Search

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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.:
  1. Levaggi, Rosella & Zanola, Roberto, 2000. "The Flypaper Effect: Evidence from the Italian National Health System," P.O.L.I.S. department's Working Papers 10, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  2. Klein, Benjamin & Crawford, Robert G & Alchian, Armen A, 1978. "Vertical Integration, Appropriable Rents, and the Competitive Contracting Process," Journal of Law & Economics, University of Chicago Press, vol. 21(2), pages 297-326, October.
  3. Montrucchio, Luigi & Privileggi, Fabio, 1999. "On Fragility of Bubbles in Equilibrium Asset Pricing Models of Lucas-Type," P.O.L.I.S. department's Working Papers 5, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
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  4. Locatelli-Biey, Marilena & Zanola, Roberto, 2000. "The Market for Sculptures: an Adjacent Year Regression Index," P.O.L.I.S. department's Working Papers 14, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  5. Marchese, Carla & Privileggi, Fabio, 2001. "Who participates in tax amnesties? Self-selection of risk-averse taxpayers," P.O.L.I.S. department's Working Papers 21, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  6. Cassone, Alberto & Marchese, Carla, 2001. "Einaudi e i servizi pubblici, ovvero come contrastare i monopolisti predoni e la burocrazia corrotta," P.O.L.I.S. department's Working Papers 17, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  7. Marchese, Carla & Privileggi, Fabio, 1999. "Taxpayers Attitudes Toward Risk and Amnesty Participation: Economic Analysis and Evidence for the Italian Case," P.O.L.I.S. department's Working Papers 6, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
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Cited by:
(explanations, 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.)

  1. Mitra, Tapan & Privileggi, Fabio, 2005. "Cantor Type Attractors in Stochastic Growth Models," P.O.L.I.S. department's Working Papers 43, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  2. Ramello, Giovanni B. & Silva, Francesco, 2006. "Appropriating signs and meaning: The elusive economics of trademark," P.O.L.I.S. department's Working Papers 70, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
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  3. Marchese, Carla & Privileggi, Fabio, 2007. "Increasing the efficiency of the 'Studi di Settore' might backfire," P.O.L.I.S. department's Working Papers 83, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  4. Ottone, Stefania & Ponzano, Ferruccio & Ricciuti, Roberto, 2007. "Simulating voting rule reforms for the Italian parliament. An economic perspective," P.O.L.I.S. department's Working Papers 88, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
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  5. Bissey, Marie-Edith & Canegallo, Claudia & Ortona, Guido & Scacciati, Francesco, 2003. "Competition vs. Cooperation. An Experimental Inquiry," P.O.L.I.S. department's Working Papers 37, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  6. Ortona, Guido, 2004. "Voting for the Electoral System: an Experiment," P.O.L.I.S. department's Working Papers 42, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  7. Cugno, Franco & Ottoz, Elisabetta, 2006. "Static inefficiency of compulsory licensing: Quantity vs. price competition," P.O.L.I.S. department's Working Papers 73, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
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  8. Bissey, Marie-Edith & Ortona, Guido, 2007. "The program for the simulation of electoral systems ALEX4.1: what it does and how to use it," P.O.L.I.S. department's Working Papers 82, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  9. Gobbi, Michela, 2003. "A Viable Alternative: the Scandinavian Model of "Social Democracy"," P.O.L.I.S. department's Working Papers 32, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  10. Nicita, Antonio & Ramello, Giovanni B., 2006. "Property, liability and market power: The antitrust side of copyright," P.O.L.I.S. department's Working Papers 75, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
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  11. Ponzano, Ferruccio, 2004. "The allocation of the income tax among different levels of government: a theoretical solution," P.O.L.I.S. department's Working Papers 40, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  12. Ramello, Giovanni, 2006. "What's in a sign? Trademark law and enconomic theory," P.O.L.I.S. department's Working Papers 67, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
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  13. Ponzano, Ferruccio, 2005. "Competition among different levels of government: the re-election problem," P.O.L.I.S. department's Working Papers 47, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  14. Levaggi, Rosella & Montefiori, Marcello, 2005. "It takes three to tango: Soft budget constraint and cream skimming in the hospital care market," P.O.L.I.S. department's Working Papers 48, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  15. Ottone, Stefania, 2005. "Transfers and Altruistic Punishments in Solomon's Game experiments," P.O.L.I.S. department's Working Papers 50, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  16. Bissey, Marie-Edith & Ortona, Guido, 2002. "A simulative frame to study the integration of defectors in a cooperative setting," P.O.L.I.S. department's Working Papers 24, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
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