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The economic case for international labour standards

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  • Thomas I. Palley

Abstract

This paper explores the economic case for international labour standards. Granting workers rights of free association and collective bargaining confers both static and dynamic economic efficiencies. Static efficiencies refer to one-time gains from improvements in economic practice. Dynamic efficiencies refer to gains from improvements to the growth path resulting from a shift away from a 'low road' development path to a 'high road' path. These efficiencies raise wages, employment and output in developing countries, and they can also benefit workers in developed countries. Labour standards are an institutional mechanism for raising the quality of growth in both developing and developed countries. In this sense, they are a 'win-win' institution. Copyright 2004, Oxford University Press.

Suggested Citation

  • Thomas I. Palley, 2004. "The economic case for international labour standards," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 28(1), pages 21-36, January.
    • Handle: RePEc:oup:cambje:v:28:y:2004:i:1:p:21-36
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    Citations

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    Cited by:

    1. Christian E. Weller, 2011. "Could international labour rights play a role in US trade?," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 35(1), pages 39-57.
    2. Mark Setterfield, 2024. "Managing the Discontent of the Losers Redux: A Future of Authoritarian Neoliberalism or Social Capitalism?," FMM Working Paper 98-2024, IMK at the Hans Boeckler Foundation, Macroeconomic Policy Institute.
    3. Mari Kangasniemi & Jukka Pirttilä, 2013. "Trade unions in the south and co-operation between unions in the South and in the North: A survey of the economics literature," Working Papers 285, Työn ja talouden tutkimus LABORE, The Labour Institute for Economic Research LABORE.
    4. Stephanie Barrientos & Gary Gereffi & Arianna Rossi, 2012. "Economic and Social Upgrading in Global Production Networks: Developing a Framework for Analysis," Global Development Institute Working Paper Series ctg-2010-03, GDI, The University of Manchester.
    5. Yana van der Meulen Rodgers & Gunseli Berik, 2006. "Asia's Race to Capture Post-MFA Markets: A Snapshot of Labor Standards, Compliance, and Impacts on Competitiveness," Working Paper Series, Department of Economics, University of Utah 2006_02, University of Utah, Department of Economics.
    6. Rémi Bazillier & Nicolas Sirven, 2006. "Les normes fondamentales du travail contribuent-elles à réduire les inégalités ?," Revue Française d'Économie, Programme National Persée, vol. 21(2), pages 111-146.
    7. Plank, Leonhard & Rossi, Arianna & Staritz, Cornelia, 2012. "Workers and social upgrading in "fast fashion": The case of the apparel industry in Morocco and Romania," Working Papers 33, Austrian Foundation for Development Research (ÖFSE).
    8. Antônio Albano de Freitas, 2017. "Neoliberalism, Profitability, and the Crisis in the Eurozone," Review of Radical Political Economics, Union for Radical Political Economics, vol. 49(3), pages 410-429, September.
    9. Günseli Berik & Yana Van Der Meulen Rodgers, 2010. "Options for enforcing labour standards: Lessons from Bangladesh And Cambodia," Journal of International Development, John Wiley & Sons, Ltd., vol. 22(1), pages 56-85.
    10. Koenig-Archibugi, Mathias, 2017. "Does transnational private governance reduce or displace labor abuses? Addressing sorting dynamics across global supply chains," LSE Research Online Documents on Economics 83517, London School of Economics and Political Science, LSE Library.
    11. van Staveren, I.P., 2005. "Five methodological approaches for research on gender and trade impacts," ISS Working Papers - General Series 19176, International Institute of Social Studies of Erasmus University Rotterdam (ISS), The Hague.
    12. Christopher Candland, 2009. "Core labour standards under the Administration of George W. Bush," International Labour Review, International Labour Organization, vol. 148(1-2), pages 169-181, June.
    13. Robert Montgomery & Gregory Maggio, 2009. "Fostering Labor Rights in Developing Countries: An Investors’ Approach to Managing Labor Issues," Journal of Business Ethics, Springer, vol. 87(1), pages 199-219, April.
    14. Antônio Albano De Freitas, 2016. "Crisis, Profit Rate And The Political Economy Of The Eurozone," Anais do XLII Encontro Nacional de Economia [Proceedings of the 42nd Brazilian Economics Meeting] 010, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics].
    15. Thomas I. Palley, 2005. "Labour standards, democracy and wages: some cross-country evidence," Journal of International Development, John Wiley & Sons, Ltd., vol. 17(7), pages 883-898.
    16. repec:dau:papers:123456789/3202 is not listed on IDEAS
    17. Mathias Koenig‐Archibugi, 2017. "Does transnational private governance reduce or displace labor abuses? Addressing sorting dynamics across global supply chains," Regulation & Governance, John Wiley & Sons, vol. 11(4), pages 343-352, December.
    18. Mark Setterfield, 2017. "Modern (American) Capitalism: A Three Act Tragedy," Working Papers 1722, New School for Social Research, Department of Economics.
    19. Wolf, Christina, 2023. "Demand-growth in support of structural change: Evidence from Nigeria's formal manufacturing sector," Structural Change and Economic Dynamics, Elsevier, vol. 67(C), pages 347-358.

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