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The legislated adjustment of labor disputes: An empirical analysis, 1880-1894. Item Type text; Dissertation-Reproduction (electronic) Authors Gotkin, Joshua Abraham. Publisher The University of Arizona. Rights Copyright © is held by the author. Digital access to this material is made possible by the University Libraries, University of Arizona. Further transmission, reproduction or presentation (such as public display or performance) of protected items is prohibited except with permission of the author. Download date 11/10/2021 08:24:56 Link to Item http://hdl.handle.net/10150/187207 INFORMATION TO USERS This manuscript ,has been reproduced from the microfilm master. UMI films the text directly from the original or copy submitted. Thus, some thesis and dissertation copies are in typewriter face, while others may be from any type of computer printer. The quality of this reproduction is dependent upon the quality of the copy submitted. 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Contact UMI directly to order. UMI A 8ell & Howell Information Company 300 North Zeeb Road. Ann Arbor. MI48106-1346 USA 313/761-4700 800:521·0600 THE LEGISLATED ADJUSTMENT OF LABOR DISPUTES: AN EMPIRICAL ANALYSIS, 1880 TO 1894 by Joshua Abraham Gotkin Copyright © Joshua Abraham Gotkin 1995 A Dissertation Submitted to the Faculty of the DEPARTMENT OF ECONOMICS In Partial Fulfillment of the Requirements for the Degree of DOCTOR OF PHILOSOPHY In the Graduate College THE UNIVERSITY OF ARIZONA 1995 UMI Number: 9603354 Copyright 1995 by Gotkin, Joshua Abraham All rights reserved. OMI Microform 9603354 Copyright 1995, by OMI Company. All rights reserved. This microform edition is protected against unauthorized copying under Title 17, United States Code. UMI 300 North Zeeb Road Ann Arbor, MI 48103 2 THE UNIVERSITY OF ARIZONA GRADUATE COLLEGE As members of the Final Examination Committee, we certify that we have read the dissertation prepared by Joshua Abraham Gotkin entitled The Legislated Adjustment of Labor Disputes: An Empirical Analysis, 1880 to 1894 and recommend that it be accepted as fulfilling the dissertation requirement for the Degree of __________________________________________ 2-7-%5 Date ;-7-9S Date Date Date Final approval and acceptance of this dissertation is contingent upon the candidate's submission of the final copy of the dissertation to the Grad~ate College. read this dissertation prepared under my it be accepted as fulfilling the dissertation 2-:5 I-Jr, Dissertation Director Date 3 STATEMENT BY AUTHOR This dissertation has been submitted in partial fulfillment of requirements for an advanced degree at The University of Arizona and is deposited in the University Library to be made available to borrowers under rules of the Library. Brief quotations from this dissertation are allowable without special permission, provided that accurate acknowledgment of source is made. Requests for permission for extended quotation from or reproduction of this manuscript in whole or in part may be granted by the copyright holder. ' ~. / SIGNED:~~&~'- -----..... 4 ACKNOWLEDGMENTS I would like to thank Price V. Fishback, Gary D. Libecap, Leslie S. Stratton, and Stanley S. Reynolds, the members of my committee, for their helpful comments and encouragement as this work evolved. My wife, Vivienne Sharton-Gotkin, deserves a medal for putting up with me, and for her many hours of reading and editing expertise. I . owe a great debt of thanks to all the people, both friends and colleagues, who believed in and supported me during my graduate school years. 5 DEDICATION To my wife Vivienne who fills my life with love and laughter, and my father Dr. Lassar G. Gotkin, he would be very proud and pleased with how my life has turned out. 6 TABLE OF CONTENTS LIST OF TABLES ...... ........................ .......................... ..... ..................... ........................ 8 LIST OF FIGURES ........................................................................................................ 9 ABSTRACT .. ........... ............................................ ............... ................. ........... ............... 10 1. INTRODUCTION .................................................................................................... 12 2. THE LEGISLATIVE CONTEXT FOR THE ARBITRATION ACT OF 1888 ....... 17 2.1 Introduction ......................................................................................................... 17 2.2 State Legislation .................................................................................................. 20 2.3 Federal Legislation .............................................................................................. 23 2.4 Conclusion....................................................................................... ................... 34 3. THE POLITICAL ECONOMY OF THE ARBITRATION ACT OF 1888 ............. 35 3.1 Introduction ......................................................................................................... 35 3.2 Legislative Activity ............................................................................................. 37 3.3 Determinants of Voting Behavior ....................................................................... 43 3.3.1 Modeling Voting Behavior ........................................................................ 43 3.3.2 Constituent Interests ................................................................................... 44 3.3.3 Representative Self-Interest ....................................................................... 52 3.4 Voting Data ......................................................................................................... 55 3.5 Econometric Modeling of Voting and Abstention Behavior .............................. 57 3.6 Estimation and Results ........................................................................................ 64 3.7 Examination of Non-Voting House Members .................................................... 74 3.8 Conclusion .......................................................................................................... 78 4. THE ARBITRATION ACT AND ITS EFFECT ON RAILROAD SECURITIES. 81 4.1 Introduction .................. .......... ........ .................................................................... 81 4.2 Event Study Methodology .................................................................................. 84 4.3 Financial Data and Alternative Estimation ......................................................... 86 4.4 Further Discussion of Alternative Methodology................................................ 93 4.5 Events and Results .............................................................................................. 96 4.5.1 The Impact of Strikes on Stock Returns .................................................... 96 4.5.2 The Impact of the Interstate Commerce Act on Stock Returns ................ 101 4.5.3 The Impact of Arbitration Legislation on Stock Returns ......................... 104 4.5.4 Regression Analysis of the Events and Excess Returns ........................... 108 4.6 Conclusion ......................................................................................................... 111 5. THE ARBITRATION ACT AND ITS EFFECT ON STRIKE ACTIVITy ........... 113 5.1 Introduction ........................................................................................................ 113 5.2 Dispute Resolution Procedures .......................................................................... 116 5.3 Theory and Empirical Literature Review ........................................................... 118 5.4 The Data ............................................................................................................. 131 5.5 Modeling and Empirical Results ........................................................................ 145 5.6 Conclusion .......................................................................................................... 154 7 TABLE OF CONTENTS - Continued 6. CONCLUSION ........................................................................................................ 156 APPENDIX A: STATE AND FEDERAL MEDIATION AND ARBITRATION LEGISLATION ................................................................................ 160 REFERENCES ............................................................................................................. 175 8 LIST OF TABLES Table 2.1, Number of Strikes and Lockouts in the United States ................................. 19 Table 2.2, State Laws by 1900