Trade Unions in an Open Economy: A General Equilibrium Analysis
AbstractThis paper derives a general equilibrium demand-for-labor schedule within the Heckscher-Ohlin-Samuelson model of a large open economy and then introduces an economywide labor union that maximizes its utility subject to this demand schedule, thereby determining the real wage and, hence, total employment. A parametric shift's comparative-static effects on the equilibrium levels of unemployment and welfare are analyzed within this fully unionized economy. Copyright 1989 by The Economic Society of Australia.
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Bibliographic InfoArticle provided by The Economic Society of Australia in its journal The Economic Record.
Volume (Year): 65 (1989)
Issue (Month): 190 (September)
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- Udo Kreickemeier & Peter Egger & Hartmut Egger, 2012.
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- Donald R. Davis & Trevor A. Reeve, 1997. "Human Capital, Unemployment and Relative Wages in a Global Economy," Harvard Institute of Economic Research Working Papers 1804, Harvard - Institute of Economic Research.
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- Leahy, Dermot & Montagna, Catia, 1999. "Unionisation and Foreign Direct Investment," CEPR Discussion Papers 2260, C.E.P.R. Discussion Papers.
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