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The Case for Virtual Strike.An Appraisal of the Italian Proposal

Author

Listed:
  • Antonio Nicita

    () (University of Siena)

  • Matteo Rizzolli

    (University of Milan - Bicocca)

Abstract

In this paper we outline the economic rationale behind the virtual strike, and workers' incentives to use this bargaining solution rather than resorting to standard strike. We show that, from a welfare perspective, a virtual strike always dominates a standard strike and it would be most needed precisely when workers have weaker incentives to adopt it. We then discuss the pros and cons of legally regulating the virtual strike rather than leaving it to self-regulation. Finally, we apply our findings to the analysis of Italy’s draft legislation on virtual strikes.

Suggested Citation

  • Antonio Nicita & Matteo Rizzolli, 2009. "The Case for Virtual Strike.An Appraisal of the Italian Proposal," Econometica Working Papers wp08, Econometica.
  • Handle: RePEc:ent:wpaper:wp08
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    More about this item

    Keywords

    stoppage strike; virtual strike; penal code; labor law and economics;

    JEL classification:

    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation
    • J52 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Dispute Resolution: Strikes, Arbitration, and Mediation
    • J83 - Labor and Demographic Economics - - Labor Standards - - - Workers' Rights
    • K31 - Law and Economics - - Other Substantive Areas of Law - - - Labor Law
    • M55 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Labor Contracting Devices

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