Probably: private unions for a category of jobs would do collective bargaining agreements with employers (if necessary). In all other cases, people would just negotiate their work value.
Is there a clear argument that this would not result in most workers being paid just enough to not starve? (Or would you endorse that happening, if that’s the result of the negotiations? Or something else?) The “sweatshop” attractor seems to exist, naively. The argument being: local incentives for managers push towards slave wages; transition costs of switching jobs are high enough that more generous managers can’t just poach all the workers, and in the long run less generous managers make more money.
This argument only straightforwardly works for some extreme simplifications. E.g. I’m imagining that all the workers are playing their CDT best response, and all the managers are doing something more complicated that involves starving out workers. I don’t get whether other people are making different simplifying assumptions that apply things will be fine, or what.
Mind if I ask you why are you so interested in arguments? I already provided empirical evidence of the opposite of what you suggest, doesn’t that beat any opposing argument?
I can easily flip your argument around: In a free market workers can ask for whatever pay they want, since they want to be paid as much as possible for as little work as possible, eventually the owners will be left with very little profit, just enough to survive.
What makes this argument wrong and yours correct is not evident to me; both are disproved by empirical evidence.
Because the world is complicated and there could be a lot of factors determining the equilibria, and I’m looking for insights that cover many actual and possible cases. (Also, I don’t think you named any countries? Someone else named some countries, but it seems like at least some of them have heavy gvt-enforced worker’s rights and gvt unemployment benefits, which does not seem like what you’re imagining.)
I’m asking because I’m curious how labor relations work.
Probably: private unions for a category of jobs would do collective bargaining agreements with employers (if necessary). In all other cases, people would just negotiate their work value.
Is there a clear argument that this would not result in most workers being paid just enough to not starve? (Or would you endorse that happening, if that’s the result of the negotiations? Or something else?) The “sweatshop” attractor seems to exist, naively. The argument being: local incentives for managers push towards slave wages; transition costs of switching jobs are high enough that more generous managers can’t just poach all the workers, and in the long run less generous managers make more money.
This argument only straightforwardly works for some extreme simplifications. E.g. I’m imagining that all the workers are playing their CDT best response, and all the managers are doing something more complicated that involves starving out workers. I don’t get whether other people are making different simplifying assumptions that apply things will be fine, or what.
Mind if I ask you why are you so interested in arguments? I already provided empirical evidence of the opposite of what you suggest, doesn’t that beat any opposing argument?
I can easily flip your argument around: In a free market workers can ask for whatever pay they want, since they want to be paid as much as possible for as little work as possible, eventually the owners will be left with very little profit, just enough to survive.
What makes this argument wrong and yours correct is not evident to me; both are disproved by empirical evidence.
Because the world is complicated and there could be a lot of factors determining the equilibria, and I’m looking for insights that cover many actual and possible cases. (Also, I don’t think you named any countries? Someone else named some countries, but it seems like at least some of them have heavy gvt-enforced worker’s rights and gvt unemployment benefits, which does not seem like what you’re imagining.)
I didn’t mention any country because you didn’t ask for any. Anyway, it seems we aren’t having a very productive conversation so I’m gonna stop here.
have a good day