Single Peaked Vs. Diversified Capitalism: The Relation Between Economic Institutions and Outcomes / Richard B. Freeman.

Format:

Book

Author/Creator:

Freeman, Richard B.

Contributor:

National Bureau of Economic Research.

Series:

Working Paper Series (National Bureau of Economic Research) no. w7556.

NBER working paper series no. w7556

Language:

English

Subjects (All):

Wage bargaining.

Capitalism.

Income distribution.

Labor market.

Physical Description:

1 online resource: illustrations (black and white);

Other Title:

Single Peaked Vs. Diversified Capitalism

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 2000.

Cambridge, Massachusetts : National Bureau of Economic Research, 2000.

Summary:

Capitalist countries have historically had quite different labour market institutions and social policies. Do these differences produce sufficiently different economic outcomes to identify a single peak set of institutions? This paper shows that: 1. Labour market institutions have large effects on distribution, but modest hard-to-uncover effects on efficiency. 2. Institutional diversity is increasing among advanced countries, as measured by the percentage of workers covered by collective bargaining. 3. The case for the US having the institutions for peak economy status rests on its 1990s full employment experience, which arguably counterbalances its high level of economic inequality The historical pattern whereby some capitalist countries do better than others in some periods (ie Japan in the 1970s-1980s), then run into problems is more consonant with the view that capitalism permits national differences in institutions to persist than with the view that all economies must converge to a single institutional structure.

Notes:

Print version record

February 2000.