The Economics of Welfare

Cover The Economics of Welfare
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The workpeople's sticking point is moved down by anything that increases the cost which they look to suffer in a conflict; and the employers' sticking point is moved up by anything that increases the cost which they look to suffer in it. An increase in the strength of the workpeople's associa- tion alone will probably both lower the anticipated cost to them and increase it to employers. Hence, it will probably raise both sticking points, but it is impossible to say whether it will widen the gap... between them. An increase in the strength of the employers' association alone will, in like manner, lower both sticking points. In practice, since the development of one rival association is almost certain to lead to the development of the other also, the most likely form of increase of strength is an increase on both 406 ECONOMICS OF WELFARE ft. m sides, leading to an increase in the cost anticipated by both.
This will mean a lowering of the workpeople's sticking point accompanied by a rise of the employers'.


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