Rules, Coordination and Manipulability Among Arbitrators
This paper provides evidence that the variance of arbitrated wage settlements is systematically lower than the variance of wage settlements negotiated without arbitration using a panel of contracts between teachers and school boards in the Canadian province of British Columbia. This finding is interpreted as evidence that arbitrators coordinate their decisions. However, coordination on a rule leaves arbitrators as a group vulnerable to manipulation by coalitions of employers or employees that understand the rule. Because successful manipulation of arbitrators undermines the credibility of the institution, arbitrators as a group have incentives to change their rules from time to time. Evidence is presented that in BC, school boards were more successful than teachers at manipulating arbitrators, and that arbitrators responded by changing their rule.
|Date of creation:||Aug 1991|
|Date of revision:|
|Publication status:||published as Journal of Labor Economics, January 1994|
|Contact details of provider:|| Postal: |
Web page: http://www.nber.org
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Orley Ashenfelter, 1987.
599, Princeton University, Department of Economics, Industrial Relations Section..
- David E. Bloom, 1986.
"Empirical Models of Arbitrator Behavior Under Conventional Arbitration,"
NBER Working Papers
1841, National Bureau of Economic Research, Inc.
- Bloom, David E, 1986. "Empirical Models of Arbitrator Behavior under Conventional Arbitration," The Review of Economics and Statistics, MIT Press, vol. 68(4), pages 578-85, November.
- 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..
- Orley Ashenfelter & Janet Currie, 1990.
"Negotiator Behavior and the Occurrence of Disputes,"
640, Princeton University, Department of Economics, Industrial Relations Section..
- Crawford, Vincent P, 1981. "Arbitration and Conflict Resolution in Labor-Management Bargaining," American Economic Review, American Economic Association, vol. 71(2), pages 205-10, May.
- Bloom, David E & Cavanagh, Christopher L, 1986.
"An Analysis of the Selection of Arbitrators,"
American Economic Review,
American Economic Association, vol. 76(3), pages 408-22, June.
When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:3821. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()
If references are entirely missing, you can add them using this form.