G2TT
来源类型Working Paper
规范类型报告
DOI10.3386/w25880
来源IDWorking Paper 25880
Coordination without Organization: Collective Labor Supply in Decentralized Spot Markets
Emily Breza; Supreet Kaur; Nandita Krishnaswamy
发表日期2019-05-27
出版年2019
语种英语
摘要In developing countries, the individuals that participate in the same localized market often share social ties—creating scope for collective behaviors that can generate market power. We test whether large groups of decentralized workers implicitly cooperate to prevent downward pressure on wages, using a field experiment with existing employers in 183 local labor markets in rural India. Only 1.8% of agricultural workers are willing to accept jobs below the prevailing wage despite high unemployment, but this number jumps to 26% when this choice is not observable to other workers—indicating substantial distortion in the aggregate labor supply curve. In contrast, social observability does not affect labor supply at the prevailing wage. In addition, workers are willing to pay to sanction those who accept wage cuts. Consistent with aggregate implications, measures of social cohesion correlate with downward wage rigidity and its unemployment effects across India. In line with our experimental evidence, sellers in other decentralized spot market settings in India and Kenya state they would be unwilling to adjust prices downwards, and would face strong social and economic repercussions if they do so. In developing countries, market power may be more widespread than previously believed.
主题Microeconomics ; Welfare and Collective Choice ; Macroeconomics ; Consumption and Investment ; Labor Economics ; Labor Supply and Demand ; Labor Compensation ; Labor Market Structures ; Labor Relations ; Development and Growth ; Development
URLhttps://www.nber.org/papers/w25880
来源智库National Bureau of Economic Research (United States)
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条目标识符http://119.78.100.153/handle/2XGU8XDN/583553
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Emily Breza,Supreet Kaur,Nandita Krishnaswamy. Coordination without Organization: Collective Labor Supply in Decentralized Spot Markets. 2019.
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