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Employment Determination in a Unionized Public-Sector Labor Market: The Case of Ontario's School Teachers

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  • Currie, Janet

Abstract

A standard efficient-contracts model of employment determination in a unionized labor market is contrasted with a naive model of labor supply and demand that allows for the possibility of monopsony in the market for public school teachers. The standard model is consistent with the data and suggests that employment contracts are strongly efficient, but a more surprising results is that the simple supply/demand model is not rejected by the data either. Estimates of the latter suggest that the demand for teachers is inelastic and that the supply curve is slightly upward sloping, rather than perfectly elastic, at the union wage. Copyright 1991 by University of Chicago Press.

Suggested Citation

  • Currie, Janet, 1991. "Employment Determination in a Unionized Public-Sector Labor Market: The Case of Ontario's School Teachers," Journal of Labor Economics, University of Chicago Press, vol. 9(1), pages 45-66, January.
    • Handle: RePEc:ucp:jlabec:v:9:y:1991:i:1:p:45-66
    DOI: 10.1086/298258
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    Cited by:

    1. Mickiewicz, Tomasz & Gerry, Christopher J. & Bishop, Kate, 2005. "Privatisation, corporate control and employment growth: Evidence from a panel of large Polish firms, 1996-2002," Economic Systems, Elsevier, vol. 29(1), pages 98-119, March.
    2. Thomas Longden & David Throsby, 2021. "Non‐Pecuniary Rewards, Multiple Job‐Holding and the Labour Supply of Creative Workers: The Case of Book Authors," The Economic Record, The Economic Society of Australia, vol. 97(316), pages 24-44, March.
    3. Marie-Claire Villeval & Manfred Konigstein, 2005. "The Choice of the Agenda in Labor Negotiations: efficiency and behavioral considerations," Working Papers 0508, Groupe d'Analyse et de Théorie Economique Lyon St-Étienne (GATE Lyon St-Étienne), Université de Lyon.
    4. Kate Bishop & Tomasz Mickiewicz, 2003. "While Labour Hoarding May Be Over, Insiders??? Control Is Not. Determinants Of Employment Growth In Polish Large Firms, 1996-2001," William Davidson Institute Working Papers Series 2003-593, William Davidson Institute at the University of Michigan.
    5. Daniel S. Hosken & David N. Margolis, 1996. "The Efficiency of Collective Bargaining in Public Schools," CIRANO Working Papers 96s-10, CIRANO.
    6. Peter J. Luke & Mark E. Schaffer, 1999. "Wage Determination in Russia: An Econometric Investigation," CERT Discussion Papers 9908, Centre for Economic Reform and Transformation, Heriot Watt University.
    7. Nicholas Lawson, 2011. "Is Collective Bargaining Pareto Efficient? A Survey of the Literature," Journal of Labor Research, Springer, vol. 32(3), pages 282-304, September.
    8. repec:eee:labchp:v:3:y:1999:i:pc:p:3573-3630 is not listed on IDEAS
    9. Tomasz Marek Mickiewicz & Christopher Gerry & Kate Bishop, 2004. "Inherited labour hoarding, insiders and employment growth. Panel data results: Poland, 1996-2002," UCL SSEES Economics and Business working paper series 37, UCL School of Slavonic and East European Studies (SSEES).
    10. Katrin Olafsdottir, 2013. "Efficiency of Collective Bargaining in the Public Sector: a Natural Experiment," Quaderni del Dipartimento di Economia, Finanza e Statistica 119/2013, Università di Perugia, Dipartimento Economia.
    11. Ruta Aidis & Kate Bishop & Sjef Ederveen & Jan Fidrmuc & Jana P. Fidrmuc & Janos Köllö & Tomasz Mickiewicz & Almos Telegdy & Laura Thissen, 2004. "Wage and Employment Decisions of Enterprises in Downsized Industries," WIFO Studies, WIFO, number 25287, April.
    12. Gregory, Robert G. & Borland, Jeff, 1999. "Recent developments in public sector labor markets," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 53, pages 3573-3630, Elsevier.

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