Mafia elite status is earned through internal labor markets, not open competition

Evidence

Sicilians wishing to embark on a career in protection must first be recruited; only then do they begin to climb the hierarchy, in competition with their peers rather than their elders. The predominant career path is by way of the internal labor market, not direct market competition. Thus, the inevitable tensions surrounding succession are not as severe in Sicily as in Naples or Calabria, and in many instances succession is prepared for over a long period of time by agreement among the established hierarchy. The reputation necessary to occupy the key positions is also gained not on the open market but internally, by demonstrating loyalty and determination, and ultimately by being co-opted from the top. — Diego Gambetta, The Sicilian Mafia The Business of…, 270

Categorization

Category: Causal Relationships

  • XREF: Internal labor market for protection directly instantiates Gambetta’s own framework and parallels Milgrom’s reputation-based private-law system where standing is built by track record within the institution.