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Or-Managed Cooperatives and Private Firms in North Central Italy: An Empirical Comparison

Author

Listed:
  • Will Bartlett
  • John Cable
  • Saul Estrin
  • Derek C. Jones
  • Stephen C. Smith

Abstract

The authors analyze the differences between the behavior of private firms and that of producer cooperatives in a matched sample of the two organizational types from the regions of Emilia Romagna and Toscana in North-Central Italy, where producer cooperatives are numerous. Individual firm-level surveys provide new detailed comparative data on key issues such as investment, productivity, wages, employment, and industrial relations. Differences between the two types of firm are found in labor relations, employment, pay, production methods, the relationship to the external market environment, and the level of economic performance. The authors find no significant differences in investment horizons or criteria for finance, despite theoretical assertions to the contrary. The cooperatives apparently have higher productivity, more labor-intensive production methods, lower income differentials, and a more tranquil industrial relations environment than the private firms.

Suggested Citation

  • Will Bartlett & John Cable & Saul Estrin & Derek C. Jones & Stephen C. Smith, 1992. "Or-Managed Cooperatives and Private Firms in North Central Italy: An Empirical Comparison," ILR Review, Cornell University, ILR School, vol. 46(1), pages 103-118, October.
  • Handle: RePEc:sae:ilrrev:v:46:y:1992:i:1:p:103-118
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    Cited by:

    1. Tortia, Ermanno, 2014. "L'impresa come bene comune," AICCON Working Papers 131-2013, Associazione Italiana per la Cultura della Cooperazione e del Non Profit.
    2. Albanese, Marina & Navarra, Cecilia & Tortia, Ermanno C., 2015. "Employer moral hazard and wage rigidity. The case of worker owned and investor owned firms," International Review of Law and Economics, Elsevier, vol. 43(C), pages 227-237.
    3. Gabriel Burdín, 2016. "Equality Under Threat by the Talented: Evidence from Worker‐Managed Firms," Economic Journal, Royal Economic Society, vol. 126(594), pages 1372-1403, August.
    4. Burdín, Gabriel & Dean, Andrés, 2009. "New evidence on wages and employment in worker cooperatives compared with capitalist firms," Journal of Comparative Economics, Elsevier, vol. 37(4), pages 517-533, December.
    5. Luigi Bonatti & Lorenza A. Lorenzetti, 2017. "The quality of employment in the early labour market experience of young Europeans," DEM Working Papers 2017/08, Department of Economics and Management.
    6. Burdín, Gabriel, 2013. "Are Worker-Managed Firms Really More Likely to Fail?," IZA Discussion Papers 7412, Institute for the Study of Labor (IZA).
    7. Gabriel Burdín, 2014. "Are Worker-Managed Firms More Likely to Fail Than Conventional Enterprises? Evidence from Uruguay," ILR Review, Cornell University, ILR School, vol. 67(1), pages 202-238, January.
    8. Malleson, Tom, 2014. "After Occupy: Economic Democracy for the 21st Century," OUP Catalogue, Oxford University Press, number 9780199330102.
    9. Marina Albanese & Cecilia Navarra & Ermanno Tortia, 2017. "Equilibrium unemployment as a worker insurance device: Worker insurance and wage setting in worker owned enterprises," DEM Working Papers 2017/09, Department of Economics and Management.
    10. John Pencavel & Luigi Pistaferri & Fabiano Schivardi, 2006. "Wages, Employment, and Capital in Capitalist and Worker-Owned Firms," ILR Review, Cornell University, ILR School, vol. 60(1), pages 23-44, October.
    11. Cecilia Navarra & Ermanno Tortia, 2014. "Employer Moral Hazard, Wage Rigidity, and Worker Cooperatives: A Theoretical Appraisal," Journal of Economic Issues, Taylor & Francis Journals, vol. 48(3), pages 707-726.
    12. Douglas L. Kruse, 1993. "Does Profit Sharing Affect Productivity?," NBER Working Papers 4542, National Bureau of Economic Research, Inc.
    13. albanese, marina & navarra, cecilia & Tortia, Ermanno, 2013. "Employer’s moral hazard and wage rigidity," MPRA Paper 46343, University Library of Munich, Germany.
    14. Martin, Michael J. & Taylor, Timothy G., 1997. "A Comparison of the Efficiency of Proucers Under Collective and Individual Modes of Organization," International Working Paper Series 237438, University of Florida, Food and Resource Economics Department.
    15. Smith, Stephen C., 2001. "Blooming Together or Wilting Alone? Network Externalities and Mondrag.n and La Lega Co-operative Networks," WIDER Working Paper Series 027, World Institute for Development Economic Research (UNU-WIDER).

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