Published in:Osteuropa-Institut Regensburg Wirtschaftswissenschaftliche Abteilung Working Paper ; No. 283
Extent:
1 Online-Ressource (13 p)
Language:
English
DOI:
10.2139/ssrn.1713745
Identifier:
Origination:
Footnote:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments April 1, 2010 erstellt
Description:
It is well known that profit sharing arrangements Pareto-dominate fixed wage contracts. Share agreements are (far) less than ubiquitous, however. This paper offers a solution of this "fixed wage puzzle" by adopting a perspective of bounded rationality. We show that share arrangements that fulfill "plausible" constraints are not generally acceptable to both firms and unions