A study of expressive choice and strikes

Brunnschweiler, Christa (2014) A study of expressive choice and strikes. European Journal of Political Economy, 34. 111–125. ISSN 1873-5703

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Abstract

The conventional explanation for strikes is that they are caused by an asymmetry of information about the profitability of the firm — union members are uninformed whereas management are informed. Instead, this paper builds a model of strikes where a perception of unfairness provides an expressive benefit to vote for a strike. The asymmetry of information is now reversed such that management are uninformed about the emotionality of union members. The model predicts that larger union size increases both wage offers and the incidence of strikes. An empirical test using UK data provides support for the predictions. In particular, union size is positively correlated with the incidence of strikes and other industrial actions, even when asymmetric information regarding profitability is controlled for.

Item Type: Article
Uncontrolled Keywords: expressive choice,survey analysis, fairness,strikes
Faculty \ School: Faculty of Social Sciences > School of Economics
Depositing User: Pure Connector
Date Deposited: 10 Mar 2015 16:19
Last Modified: 21 Apr 2020 23:56
URI: https://ueaeprints.uea.ac.uk/id/eprint/52590
DOI: 10.1016/j.ejpoleco.2014.01.004

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