Age-dependence and Historical Effects on the Failure Rates of Worker Cooperatives: An Event-history Analysis
- 1 February 1989
- journal article
- Published by SAGE Publications in Economic and Industrial Democracy
- Vol. 10 (1) , 59-80
- https://doi.org/10.1177/0143831x89101004
Abstract
This paper tests a number of hypotheses about the failure rates of worker cooperatives created in Atlantic Canada between 1940 and 1987. The event-history analysis shows that failure rates vary significantly by organizational age, sectoral location, and period of organizational founding, reflecting the effects of the business cycle and organizational population dynamics. In contrast to most conventional business organizations, worker cooperatives are not likely to fail during their early years of existence, but are most vulnerable in their fifth year.Keywords
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