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Labor Unions, Unemployment, and Trade and Capital Liberalization

Author

Listed:
  • Geide-Stevenson, Doris

    (Weber State University)

Abstract

This paper utilizes a specific factor model where rewards to labor and capi - tal, and employment are determined by efficient bargaining between entrepre - neurs and workers in each sector. Union threat points arise endogenously since workers’ outside opportunities in one sector depend on the bargain struck in the other sector. This fully unionized economy will generally be characterized by unemployment and inter- industry wage differentials. Both trade and capital liberalization may lead to an increase in overall employment.

Suggested Citation

  • Geide-Stevenson, Doris, 2000. "Labor Unions, Unemployment, and Trade and Capital Liberalization," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 15, pages 76-99.
    • Handle: RePEc:ris:integr:0125
    as

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    More about this item

    Keywords

    Trade unions; Unemployment; Economic integration;
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F15 - International Economics - - Trade - - - Economic Integration
    • F20 - International Economics - - International Factor Movements and International Business - - - General
    • J51 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Trade Unions: Objectives, Structure, and Effects
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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