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Fairness and the labour market; A theoretical and empirical analysis of layoffs in Germany

  • Pfeifer, Christian

In recent years layoffs have increasingly become the focus of public attention. So far, however, there has been no representative study for Germany of how far and under what conditions layoffs are accepted by the population - in other words by people who are not immediately affected. Principles of distributive justice, rules of procedural justice, attribution theory, and psychological contract theory form the framework of the analysis. On this basis, hypotheses are generated, which are tested empirically in a telephone survey conducted among East and West Germans in 2004 (n=3039).

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File URL: http://diskussionspapiere.wiwi.uni-hannover.de/pdf_bib/dp-328.pdf
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Paper provided by Leibniz Universität Hannover, Wirtschaftswissenschaftliche Fakultät in its series Hannover Economic Papers (HEP) with number dp-328.

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Length: 22 pages
Date of creation: Nov 2005
Date of revision:
Handle: RePEc:han:dpaper:dp-328
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  1. Rabin, Matthew, 2002. "A perspective on psychology and economics," European Economic Review, Elsevier, vol. 46(4-5), pages 657-685, May.
  2. Wolfgang Franz & Friedhelm Pfeiffer, 2003. "Zur ökonomischen Rationalität von Lohnrigiditäten aus der Sicht von Unternehmen," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), Justus-Liebig University Giessen, Department of Statistics and Economics, vol. 223(1), pages 23-57.
  3. Charness, Gary B & Levine, David I. I., 2000. "When Are Layoffs Acceptable? Evidence From A Quasi-Experiment," University of California at Santa Barbara, Economics Working Paper Series qt4vs7h4hh, Department of Economics, UC Santa Barbara.
  4. Akerlof, George A, 1982. "Labor Contracts as Partial Gift Exchange," The Quarterly Journal of Economics, MIT Press, vol. 97(4), pages 543-69, November.
  5. Matthew Rabin., 1992. "Incorporating Fairness into Game Theory and Economics," Economics Working Papers 92-199, University of California at Berkeley.
  6. James Konow, 2003. "Which Is the Fairest One of All? A Positive Analysis of Justice Theories," Journal of Economic Literature, American Economic Association, vol. 41(4), pages 1188-1239, December.
  7. Rabin, Matthew, 1997. "Psychology and Economics," Department of Economics, Working Paper Series qt8jd5z5j2, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
  8. Fehr, Ernst, et al, 1998. "When Social Norms Overpower Competition: Gift Exchange in Experimental Labor Markets," Journal of Labor Economics, University of Chicago Press, vol. 16(2), pages 324-51, April.
  9. von Krogh, Georg & Kameny, Marla, 2002. "Leap Before You Layoff:: Look For Creative Alternatives," European Management Journal, Elsevier, vol. 20(6), pages 664-670, December.
  10. Kahneman, Daniel & Knetsch, Jack L & Thaler, Richard, 1986. "Fairness as a Constraint on Profit Seeking: Entitlements in the Market," American Economic Review, American Economic Association, vol. 76(4), pages 728-41, September.
  11. Konow, James, 2001. "Fair and square: the four sides of distributive justice," Journal of Economic Behavior & Organization, Elsevier, vol. 46(2), pages 137-164, October.
  12. James Konow, 2001. "A Positive Theory of Economic Fairness," Levine's Working Paper Archive 563824000000000138, David K. Levine.
  13. Elster, Jon, 1991. "Local justice : How institutions allocate scarce goods and necessary burdens," European Economic Review, Elsevier, vol. 35(2-3), pages 273-291, April.
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