Wages, Employment, and Capital in Capitalist and Worker-Owned Firms

@article{Pencavel2006WagesEA,
  title={Wages, Employment, and Capital in Capitalist and Worker-Owned Firms},
  author={John H. Pencavel and Luigi Pistaferri and Fabiano Schivardi},
  journal={Industrial \& Labor Relations Review},
  year={2006},
  volume={60},
  pages={23 - 44}
}
The authors investigate how worker-owned and capitalist enterprises differ with respect to wages, employment, and capital in Italy, the market economy with the greatest incidence of worker-owned and worker-managed firms. Estimates calculated using a matched employer-worker panel data set for the years 1982–94 largely corroborate the implications of orthodox behavioral models of the two types of enterprise. Co-ops had 14% lower wages than capitalist enterprises, on average; more volatile wages… 

Employment and Wages over the Business Cycle in Worker‐Owned Firms: Evidence from Spain*

This paper compares worker-owned firms and mainstream capital-owned enterprises over the business cycle. Specifically, I study whether conventional employees in worker-owned firms enjoy greater

Why Wages Tend to Be Lower in Worker‐Owned Firms than in Investor‐Owned Firms

Consistently with the empirical evidence and in contrast with Shapiro and Stiglitz (1984), we demonstrate that worker‐owned firms exhibit not only more wage flexibility and less employment volatility

N ° 2011-8 Productivity , Capital and Labor in Labor-Managed and Conventional Firms

Despite a continuing interest in the compared efficiency of labor-managed and conventional firms, only a handful of comparative empirical studies exist. These studies suggest that labor-managed firms

Wage differentials between conventional firms and non-worker cooperatives: Analysis of evidence from France

The aim of this article is to investigate the wage differentials between conventional firms and non-worker cooperatives, which has seldom been done in the literature to date. Using French

Employment Stabilization Inside Firms: An Empirical Investigation of Worker Cooperatives

There is evidence that worker cooperatives provide a greater stabilization of employment compared to capital-managed firms. While the reasons of this behaviour can be ascribed to their property and

Equilibrium unemployment as a worker insurance device: wage setting in worker owned enterprises

Worker co-operatives have been shown as characterised by higher wage volatility while providing higher employment stability compared with investor-owned firms (IOFs). These stylised facts show

The Wage Gap between Cooperative and Capitalist Firms: Evidence from Spain

This paper analyses the differences between the wages received by workers in cooperative and capitalist firms in Spain using a sample constructed from administrative data. This paper shows that size

Productivity, Capital, and Labor in Labor-Managed and Conventional Firms: An Investigation on French Data

Using two new data sets from France, the authors present the first study of the comparative productivity of labor-managed and conventional firms involving large representative samples of firms in a

Worker Cooperatives: Good, Sustainable Jobs in the Community

Worker cooperatives are the least well-known part of the cooperative movement. Part of the reason is that the idea of a business run by its employees sounds unrealistic to many people. Yet there are
...

References

SHOWING 1-10 OF 41 REFERENCES

Labor-Managed Cooperatives and Private Firms in North Central Italy: An Empirical Comparison

The authors analyze the differences between the behavior of private firms and that of producer cooperatives in a matched sample of the two organizational types from the regions of Emilia Romagna and

Participation, Profit Sharing, Worker Ownership and Efficiency in Italian Producer Cooperative

This paper analyses the productivity effects of worker participation in management, profit-sharing and worker ownership. It develops an estimating framework and applies it to firm-level data for

The Empirical Performance of Orthodox Models of the Firm: Conventional Firms and Worker Cooperatives

Though it is routinely posited that organizations with different property rights will not exhibit the same responses to changes in their economic environment, compelling evidence of such behavior is

Insurance within the Firm

We evaluate the allocation of risk between firms and their workers using matched employer‐employee panel data. Unlike previous contributions, this paper focuses on idiosyncratic shocks to the firm,

Workers' Co-operatives and Trade Unions: The Italian Experience

The paper examines the influence of trade unions on workers' co-operatives in Italy both at a political level, and inside the co-operatives. Over the last ten years the unions have stimulated the

Identifying the Sources of Local Productivity Growth

Using firm-level based TFP indicators (as opposed to employment-based proxies) we estimate the effects of alternative sources of dynamic externalities at the local level. In contrast to previous

The Ownership of Enterprise

Preface Introduction PART 1: A Theory of Enterprise Ownership 1. An Analytic Framework 2. The Costs of Contracting 3. The Costs of Ownership PART 2: Producer-Owned Enterprise 4. Invertor-Owned Firms

Why Capital (Usually) Hires Labor: An Assessment of Proposed Explanations

Enterprises owned or run by workers are probably as old as capitalism itself, but they have never occfupied more than a small sector of any developed market economy. In this paper, we ask why this is

Microeconometric models of investment and employment

We survey recent microeconometric research on investment and employment that has used panel data on individual firms or plants. We focus on model specification and econometric estimation issues, but