Modelling Organizational Change: Determinants and Consequences on the Labor Market

L'actualite Economique, Revue d'Analyse Economique, Vol. 79, No. 3, pp. 349-365

Posted: 7 Mar 2008 Last revised: 11 Dec 2013

See all articles by Patricia Crifo

Patricia Crifo

Ecole Polytechnique, Paris - Laboratoire d'Econometrie; Université Paris X Nanterre - Department of Economics; Center for Interuniversity Research and Analysis on Organization (CIRANO)

Date Written: 2003

Abstract

This article presents theoretical analyses of organizational changes observed within firms since the past two decades in most industrialized countries. In a first category of models, the engine of organizational change lies in an increase in the complexity of production or in changes affecting the returns to labor. In a second category of models, organizational change depends on variables in the firm's environment influencing labor costs: increases in the supply of skilled labor, workers' preferences in favour of multitasking or the life cycle of products. Both categories of models highlight that organizational change contributes to increase wage inequality, to make the skill structure within firms more homogenous and to increase segregation by skills.

Keywords: Organizational Change, Human Capital, Wage Inequality

JEL Classification: D2,M5,D3

Suggested Citation

Crifo, Patricia, Modelling Organizational Change: Determinants and Consequences on the Labor Market (2003). L'actualite Economique, Revue d'Analyse Economique, Vol. 79, No. 3, pp. 349-365. Available at SSRN: https://ssrn.com/abstract=1103044

Patricia Crifo (Contact Author)

Ecole Polytechnique, Paris - Laboratoire d'Econometrie ( email )

Route de Saclay
Palaiseau, 91128
France

Université Paris X Nanterre - Department of Economics

Nanterre Cedex, 92001
France

Center for Interuniversity Research and Analysis on Organization (CIRANO)

2020 rue University, 25th floor
Montreal H3C 3J7, Quebec
Canada

Here is the Coronavirus
related research on SSRN

Paper statistics

Abstract Views
293
PlumX Metrics