The Determinants of U.S. Labor Disputes
The authors present a bargaining model of union contract negotiations in which the union decides between two threats: the union can strike or it can continue to work under the expired contract. The model makes predictions about the level of dispute activity and the form disputes take. Strike incidence increases as the strike threat becomes more attractive because of low unemployment or a real wage drop. The authors test these predictions by estimating logistic models of dispute incidence and dispute composition for negotiations from 1970 to 1989. They find support for the model's key predictions but these associations are weaker after 1981. Copyright 1994 by University of Chicago Press.
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References listed on IDEAS
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- Rubinstein, Ariel, 1982.
"Perfect Equilibrium in a Bargaining Model,"
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- John M. Abowd & Richard B. Freeman, 1990. "The Internationalization of the U.S. Labor Market," NBER Working Papers 3321, National Bureau of Economic Research, Inc.
- Peter Cramton & Joseph S. Tracy, 1992.
"Strikes and Holdouts in Wage Bargaining: Theory and Data,"
Papers of Peter Cramton
92aer, University of Maryland, Department of Economics - Peter Cramton, revised 09 Jun 1998.
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NBER Working Papers
1870, National Bureau of Economic Research, Inc.
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- Anat R. Admati & Motty Perry, 1987. "Strategic Delay in Bargaining," Review of Economic Studies, Oxford University Press, vol. 54(3), pages 345-364.
- McConnell, Sheena, 1989. "Strikes, Wages, and Private Information," American Economic Review, American Economic Association, vol. 79(4), pages 801-15, September.
- John M. Abowd & Joseph S. Tracy, 1988. "Market Structure, Strike Activity, and Union Wage Settlements," NBER Working Papers 2595, National Bureau of Economic Research, Inc.
- Kennan, John & Wilson, Robert, 1989. "Strategic Bargaining Models and Interpretation of Strike Data," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 4(S), pages S87-130, Supplemen.
- John M. Abowd & Richard B. Freeman, 1991. "Immigration, Trade, and the Labor Market," NBER Books, National Bureau of Economic Research, Inc, number abow91-1, June.
- Card, David, 1990. "Strikes and Bargaining: A Survey of the Recent Empirical Literature," American Economic Review, American Economic Association, vol. 80(2), pages 410-15, May.
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