IDEAS home Printed from https://ideas.repec.org/a/rje/bellje/v8y1977iautumnp545-555.html
   My bibliography  Save this article

On the Efficiency of Profit Sharing and Labor Participation in Management

Author

Listed:
  • Alfred Steinherr

Abstract

This paper attempts a generalization of both the theory of the labor-managed firm and that of the managerial firm by allowing all members of the firm to participate in decisionmaking and sharing of profits. We demonstrate that under rather plausible assumptions, and independently of the objective function of the firm, some profit sharing and participation in decisionmaking are required for Pareto efficiency. The allocation relations for factors of production that obtain under different decision-making structures are shown to be substantially different from each other and also different from what pure profit maximizing would indicate.

Suggested Citation

  • Alfred Steinherr, 1977. "On the Efficiency of Profit Sharing and Labor Participation in Management," Bell Journal of Economics, The RAND Corporation, vol. 8(2), pages 545-555, Autumn.
  • Handle: RePEc:rje:bellje:v:8:y:1977:i:autumn:p:545-555
    as

    Download full text from publisher

    File URL: http://links.jstor.org/sici?sici=0361-915X%28197723%298%3A2%3C545%3AOTEOPS%3E2.0.CO%3B2-O&origin=repec
    File Function: full text
    Download Restriction: Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Vontalge, Alan L., 1991. "A feasibility study of swine producer management cooperatives," ISU General Staff Papers 1991010108000018168, Iowa State University, Department of Economics.
    2. Estrin, Saul, 2021. "Introduction to symposium on the impact of employee influence," LSE Research Online Documents on Economics 110516, London School of Economics and Political Science, LSE Library.
    3. Felix FitzRoy & Kornelius Kraft, 2005. "Co‐determination, Efficiency and Productivity," British Journal of Industrial Relations, London School of Economics, vol. 43(2), pages 233-247, June.
    4. Saul Estrin, 2021. "Introduction to symposium on the impact of employee influence," British Journal of Industrial Relations, London School of Economics, vol. 59(4), pages 982-987, December.
    5. repec:ilo:ilowps:453417 is not listed on IDEAS

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rje:bellje:v:8:y:1977:i:autumn:p:545-555. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://www.rje.org .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.