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Labour Market Imperfections, International Integration and Selection

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  • Montagna, Catia
  • Nocco, Antonella

Abstract

Although a large body of literature has focused on the effects of intra-firm differences on export performance, relatively little attention has been devoted to the interaction between firms' selection and international performance and labour market institutions - in contrast with the centrality of the latter to current policy and public debates on the implications of economic globalisation for national policies and institutions. In this paper, we study the effects of labour market unionisation on the process of competitive selection between heterogeneous firms and analyse how the interaction between the two is affected by trade liberalisation between countries with different unionisation patterns.

Suggested Citation

  • Montagna, Catia & Nocco, Antonella, 2008. "Labour Market Imperfections, International Integration and Selection," SIRE Discussion Papers 2008-21, Scottish Institute for Research in Economics (SIRE).
    • Handle: RePEc:edn:sirdps:34
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    File URL: http://hdl.handle.net/10943/34
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    More about this item

    Keywords

    firm selection; labour market unionisation; gains from trade;
    All these keywords.

    JEL classification:

    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • R13 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies
    • J51 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Trade Unions: Objectives, Structure, and Effects

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