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Arbitrator Behavior and the Variances of Arbitrated and Negotiated Wage Settlements

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  • Currie, Janet

Abstract

The variance of arbitrated wage settlements is significantly lower than the variance of negotiated wage settlements in a sample of teachers' contracts, even when possible selection of contracts into arbitration is accounted for. This result is consistent with the hypothesis that arbitrated settlements do not incorporate all of the information that is reflected in negotiated settlements. Copyright 1994 by University of Chicago Press.

Suggested Citation

  • Currie, Janet, 1994. "Arbitrator Behavior and the Variances of Arbitrated and Negotiated Wage Settlements," Journal of Labor Economics, University of Chicago Press, vol. 12(1), pages 29-40, January.
  • Handle: RePEc:ucp:jlabec:v:12:y:1994:i:1:p:29-40
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    References listed on IDEAS

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    1. Craig A. Olson & Barbara Rau, 1991. "Negotiated Settlements and Learning From the Arbitration Experience," Working Papers 665, Princeton University, Department of Economics, Industrial Relations Section..
    2. Currie, Janet & McConnell, Sheena, 1991. "Collective Bargaining in the Public Sector: The Effect of Legal Structure on Dispute Costs and Wages," American Economic Review, American Economic Association, vol. 81(4), pages 693-718, September.
    3. repec:fth:prinin:285 is not listed on IDEAS
    4. Janet Currie, 1989. "Who Uses Interest Arbitration? The Case of British Columbia's Teachers, 1947–1981," ILR Review, Cornell University, ILR School, vol. 42(3), pages 363-379, April.
    5. Nash, John, 1950. "The Bargaining Problem," Econometrica, Econometric Society, vol. 18(2), pages 155-162, April.
    6. Craig A. Olson & Barbara Rau, 1991. "Negotiated Settlements and Learning From the Arbitration Experience," Working Papers 665, Princeton University, Department of Economics, Industrial Relations Section..
    7. Crawford, Vincent P, 1981. "Arbitration and Conflict Resolution in Labor-Management Bargaining," American Economic Review, American Economic Association, vol. 71(2), pages 205-210, May.
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    Cited by:

    1. Pull, Kerstin, 1999. "What is the fair wage? A model of as-if-co-operation," Quint-Essenzen 58, University of Trier, Institute for Labour Law and Industrial Relations in the European Community (IAAEG).

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