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Analysis of labor strike based on evolutionary game and catastrophe theory

Author

Listed:
  • Ahmad Makui

    (Iran University of Science and Technology)

  • Seyed Mohammad Seyedhosseini

    (Iran University of Science and Technology)

  • Seyed Jafar Sadjadi

    (Iran University of Science and Technology)

  • Parinaz Esmaeili

    (Iran University of Science and Technology)

Abstract

This paper analyzes the labor–employer relations during conditions that lead to strike using an evolutionary game and catastrophe theory. During a threat to strike, the employers may accept the whole or only a part of the demands of labors and improve the work conditions or decline the demands, and each selected strategies has its respective costs and benefits. The threat to strike action causes the formation of a game between the strikers and employers that in which, as time goes on, different strategies are evaluated by the players and the effective variables of strike faced gradual and continuous changes, which can lead to a sudden jump of the variables and push the system to very different conditions such as dramatic increase or decrease in the probability of selecting strategies. So the alliance between labors could suffer or reinforce. This discrete sudden change is called catastrophe. In this study after finding evolutionary stable strategies for each player, the catastrophe threshold analyzed by nonlinear evolutionary game and the managerial insight is proposed to employers to prevent the parameters from crossing the border of the catastrophe set that leads to a general strike.

Suggested Citation

  • Ahmad Makui & Seyed Mohammad Seyedhosseini & Seyed Jafar Sadjadi & Parinaz Esmaeili, 2020. "Analysis of labor strike based on evolutionary game and catastrophe theory," EURO Journal on Decision Processes, Springer;EURO - The Association of European Operational Research Societies, vol. 8(1), pages 79-88, May.
    • Handle: RePEc:spr:eurjdp:v:8:y:2020:i:1:d:10.1007_s40070-020-00111-y
    DOI: 10.1007/s40070-020-00111-y
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    References listed on IDEAS

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    1. Clemhout, S. & Leitmann, G. & Wan, H. Jr., 1975. "Bargaining under strike: A differential game view," Journal of Economic Theory, Elsevier, vol. 11(1), pages 55-67, August.
    2. Xu, Yan & Hu, Bin & Wu, Jiang & Zhang, Jianhua, 2014. "Nonlinear analysis of the cooperation of strategic alliances through stochastic catastrophe theory," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 400(C), pages 100-108.
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    Cited by:

    1. Haibo Chen & Zongjun Wang & Xuesong Yu, 2021. "Sustainability Strategies of Equipment Introduction and Overcapacity Risk Sharing in Mask Emergency Supply Chains during Pandemics," Sustainability, MDPI, vol. 13(18), pages 1-17, September.
    2. Haibo Chen & Zongjun Wang & Xuesong Yu & Qin Zhong, 2022. "Research on the Anti-Risk Mechanism of Mask Green Supply Chain from the Perspective of Cooperation between Retailers, Suppliers, and Financial Institutions," IJERPH, MDPI, vol. 19(24), pages 1-18, December.
    3. Mostafa, Mohamed M., 2022. "Five decades of catastrophe theory research: Geographical atlas, knowledge structure and historical roots," Chaos, Solitons & Fractals, Elsevier, vol. 159(C).

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