Bonus Sharing in the Soviet Enterprise

Hans Aage
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Hans Aage: Institute of Economics, University of Copenhagen

No 87-07, Discussion Papers from University of Copenhagen. Department of Economics

Abstract: Revenue sharing, i.e. workers' remuneration according to enterprise performance, has been advocated as a means against labor shortage (in socialist economies) and also as a solution to unemployment problems (in capitalist economies), with reference to the effects of revenue sharing upon workers' incentives and macro-economic conditions respectively. Compared to existing models of of the bonus maximising Soviet enterprise, inclusion of these two features demonstrates their countervailing effects upon management's choice of optimal factor mix, their relative importance depending on the details of the bonus-sharing rules.

Keywords: centrally planned economies; labor-management relations in public sector; USSR (search for similar items in EconPapers)
Pages: 16 pages
Date: 1987-12
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Published as: "Bonus Sharing in Soviet Economic Reforms", Economics of Planning, 1990, 23(2) pp. 143-58

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Persistent link: https://EconPapers.repec.org/RePEc:kud:kuiedp:8707

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