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Workers' enterprises in the case of arts production

Author

Listed:
  • Cuccia, Tiziana
  • Cellini, Roberto

Abstract

This paper shows that the standard result according to which labour-managed firms produce a lower amount of output, as compared to profit-maximising firms, is reversed if production per se gives utility and the workers’ membership of labour-managed firms is set prior to market decisions. Under the same hypotheses, the labour-managed firms set a higher product quality than the profit-oriented ones, ceteris paribus. The considered hypotheses are particularly relevant for the case of the performing arts sector, so that the presence of labour-managed firms should be particularly welcomed in this sector.

Suggested Citation

  • Cuccia, Tiziana & Cellini, Roberto, 2007. "Workers' enterprises in the case of arts production," MPRA Paper 5192, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:5192
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    File URL: https://mpra.ub.uni-muenchen.de/5192/1/MPRA_paper_5192.pdf
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    workers'enterprises; labour managed firms; arts;
    All these keywords.

    JEL classification:

    • L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media
    • L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production

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