The Micro-Economics of 'Surplus Labor

Arbeitspapier

This paper examines the apparent conflict between the classical assumption of a bargaining agricultural sector wage and the neoclassical assumption of a competitive wage in the context of a labor surplus developing economy. It concludes that the relatively inelastic supply of labor hours offered by low income small or landless farmers in the static micro-economic leisure/work context is perfectly consistent with the persistence for some time of an institutional real wage offered to the non-agricultural sector of the dual economy. Empirical evidence is brought to bear in support of that position.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Center Discussion Paper ; No. 772

Classification and Topics

• Classification: Wirtschaft
• Subject: Institutional vs. Competitive Real Wage ; Labor Surplus Economy ; Neoclassical vs. Classical Labor Markets ; Lohntheorie ; Arbeitsmarkttheorie ; Neoklassik ; Klassische Theorie ; Landwirtschaft ; Theorie

Contributors, Location and Time

• Event: Geistige Schöpfung
• (who): Ranis, Gustav
• Event: Veröffentlichung
• (who): Yale University, Economic Growth Center
• (where): New Haven, CT
• (when): 1997

Further information

• Handle: http://hdl.handle.net/10419/98281
• Last update: 20.09.2024, 8:25 AM CEST