Citation

Business and Coordinated Capitalism: Defenders or Challengers of the "German Model"?

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Abstract:

Debates about the role of business interests in labor market and welfare state reform have evolved rapidly during recent years. The Varieties of Capitalism approach emphasizes the competitive advantages of CME-type labor market and welfare state institutions to firms and challenges conventional understandings of capitalists as being antagonistic to non-market institutions. This paper analyses the development of employer stances towards labor market and welfare state institutions in Germany. This country constitutes a crucial case due to the competitive advantages for firms created by its institutional setting. The paper identifies a "double movement" in German employer attitudes: Historically, employers turned from outspoken opponents to tacit supporters of non-market institutions, in line with what the VoC argument predicts. Today, however, employers shift again towards market liberalization. This recent erosion of employer support for non-market institutions, it is argued, resulted from endogenous problems created to a considerable extent by employers own past institutional practices. Employer adaptation to institutional constraints did not result in their political consent, but did itself create new problems for employers - a sustained rise in non-wage labor costs, in particular - that resulted in the subsequent self-undermination of employer consent.

Most Common Document Word Stems:

employ (245), institut (160), social (125), german (108), labor (105), firm (82), polit (78), market (78), polici (75), bargain (69), der (65), industri (65), support (56), cost (55), chang (53), interest (52), collect (52), work (50), und (48), state (48), welfar (45),
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Association:
Name: Seventeenth International Conference of the Council for European Studies
URL:
http://www.ces.columbia.edu


Citation:
URL: http://citation.allacademic.com/meta/p399894_index.html
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MLA Citation:

Paster, Thomas. "Business and Coordinated Capitalism: Defenders or Challengers of the "German Model"?" Paper presented at the annual meeting of the Seventeenth International Conference of the Council for European Studies, Grand Plaza, Montreal, Canada, Apr 15, 2010 <Not Available>. 2014-11-27 <http://citation.allacademic.com/meta/p399894_index.html>

APA Citation:

Paster, T. , 2010-04-15 "Business and Coordinated Capitalism: Defenders or Challengers of the "German Model"?" Paper presented at the annual meeting of the Seventeenth International Conference of the Council for European Studies, Grand Plaza, Montreal, Canada Online <APPLICATION/PDF>. 2014-11-27 from http://citation.allacademic.com/meta/p399894_index.html

Publication Type: Individual Paper
Review Method: Peer Reviewed
Abstract: Debates about the role of business interests in labor market and welfare state reform have evolved rapidly during recent years. The Varieties of Capitalism approach emphasizes the competitive advantages of CME-type labor market and welfare state institutions to firms and challenges conventional understandings of capitalists as being antagonistic to non-market institutions. This paper analyses the development of employer stances towards labor market and welfare state institutions in Germany. This country constitutes a crucial case due to the competitive advantages for firms created by its institutional setting. The paper identifies a "double movement" in German employer attitudes: Historically, employers turned from outspoken opponents to tacit supporters of non-market institutions, in line with what the VoC argument predicts. Today, however, employers shift again towards market liberalization. This recent erosion of employer support for non-market institutions, it is argued, resulted from endogenous problems created to a considerable extent by employers own past institutional practices. Employer adaptation to institutional constraints did not result in their political consent, but did itself create new problems for employers - a sustained rise in non-wage labor costs, in particular - that resulted in the subsequent self-undermination of employer consent.


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