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On the Effectiveness of the Lifetime–Employment–Contract Policy

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  • Kazuhiro Ohnishi

Abstract

This paper examines a subgame perfect equilibrium when one of two duopolists executes a lifetime–employment–contract policy, which is a strategic commitment that generates kinks in the reaction curve, by using a two–stage quantity–setting model. The purpose of the paper is to show concretely in what kinds of cases the policy is effective.

Suggested Citation

  • Kazuhiro Ohnishi, 2002. "On the Effectiveness of the Lifetime–Employment–Contract Policy," Manchester School, University of Manchester, vol. 70(6), pages 812-821, December.
    • Handle: RePEc:bla:manchs:v:70:y:2002:i:6:p:812-821
    DOI: 10.1111/1467-9957.00326
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    Cited by:

    1. Ohnishi, Kazuhiro, 2022. "Socially concerned duopolies with lifetime employment as a strategic commitment," MPRA Paper 111625, University Library of Munich, Germany.
    2. Ohnishi, Kazuhiro, 2021. "Lifetime employment and reaction functions of socially concerned firms under quantity competition," MPRA Paper 110867, University Library of Munich, Germany.

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