EconPapers    
Economics at your fingertips  
 

The fixed wage puzzle: Why profit sharing is so hard to implement

Jürgen Jerger and Jochen Michaelis ()

Economics Letters, 2011, vol. 110, issue 2, 104-106

Abstract: Profit sharing arrangements Pareto-dominate fixed wage contracts, but are (far) less than ubiquitous. We account for this fixed wage puzzle by adopting a perspective of bounded rationality. Specifically, plausible share arrangements are not generally acceptable to both firms and unions.

Keywords: Profit; sharing; Share; economy; Remuneration; systems (search for similar items in EconPapers)
Date: 2011
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0165-1765(10)00357-5
Full text for ScienceDirect subscribers only

Related works:
Working Paper: The Fixed Wage Puzzle: Why Profit Sharing Is So Hard to Implement (2010) Downloads
Working Paper: The Fixed Wage Puzzle: Why Profit Sharing Is So Hard to Implement (2010) Downloads
Working Paper: The Fixed Wage Puzzle: Why Profit Sharing Is So Hard to Implement (2010) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolet:v:110:y:2011:i:2:p:104-106

Access Statistics for this article

Economics Letters is currently edited by Economics Letters Editorial Office

More articles in Economics Letters from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

 
Page updated 2025-03-19
Handle: RePEc:eee:ecolet:v:110:y:2011:i:2:p:104-106