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A model of economic integration with ownership structure in general equilibrium oligopoly

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  • Kamei, Keita

Abstract

This study analyzes the impact of economic integration on employment and wage levels under international oligopolistic competition, focusing on oligopolistic firms with monopolistic power in both goods and labor markets. By extending the oligopolistic general equilibrium model of Azar and Vives (2021) to an economic integration framework, the paper highlights the potential decrease in employment levels driven by two primary factors: the elasticity of labor supply and shifts in the proportion of common ownership. Our results shows that economic integration might reduce wages and employment.

Suggested Citation

  • Kamei, Keita, 2024. "A model of economic integration with ownership structure in general equilibrium oligopoly," Economics Letters, Elsevier, vol. 236(C).
    • Handle: RePEc:eee:ecolet:v:236:y:2024:i:c:s0165176524001058
    DOI: 10.1016/j.econlet.2024.111622
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    More about this item

    Keywords

    General equilibrium oligopoly; Economic integration; Common ownerships; Employment;
    All these keywords.

    JEL classification:

    • F1 - International Economics - - Trade
    • F2 - International Economics - - International Factor Movements and International Business
    • F4 - International Economics - - Macroeconomic Aspects of International Trade and Finance

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