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Unemployment in a Cournot Oligopoly Model with Ford Effects

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  • Claude d’ASPREMONT

    (UNIVERSITE CATHOLIQUE DE LOUVAIN, Center for Operations Research and Econometrics (CORE))

  • Rodolphe DOS SANTOS FERREIRA

    (BETA Université de Strasbourg)

  • Louis-André GÉRARD-VARET

    (GREQE)

Abstract

A simple general equilibrium model of imperfect competition is introduced with special attention given to the labour market. An extended Cournot equilibrium is defined for any money wage taken as given by the producers. Under some assumptions involuntary unemployment may arise, that is unemployment whatever the given money wage. Specific examples are considered.

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Bibliographic Info

Paper provided by Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES) in its series Discussion Papers (REL - Recherches Economiques de Louvain) with number 1989012.

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Length: 28
Date of creation: 01 Mar 1989
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Handle: RePEc:ctl:louvre:1989012

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Cited by:
  1. Brito, Paulo B. & Costa, Luís F. & Dixon, Huw, 2013. "Non-smooth dynamics and multiple equilibria in a Cournot–Ramsey model with endogenous markups," Journal of Economic Dynamics and Control, Elsevier, vol. 37(11), pages 2287-2306.
  2. Lutz, Stefan & Turrini, Alessandro Antonio, 2000. "Skills, Labour Costs and Vertically Differentiated Industries: A General Equilibrium Analysis," CEPR Discussion Papers 2373, C.E.P.R. Discussion Papers.
  3. P M Picard & E Toulemonde, 2005. "On Monopolistic Competition and Optimal Product Diversity: A Comment on Cost Structure and Workers' Rents," The School of Economics Discussion Paper Series 0518, Economics, The University of Manchester.
  4. PICARD, Pierre M. & TOULEMONDE, Eric, . "On monopolistic competition and optimal product diversity: workers' rents also matter," CORE Discussion Papers RP -2175, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  5. Costa, Luís F. & Dixon, Huw David, 2010. "Fiscal policy under imperfect competition: A survey," Economics Discussion Papers 2010-14, Kiel Institute for the World Economy.
  6. Lutz, Stefan & Turrini, Alessandro, 2006. "A general equilibrium model with vertically differentiated industries, skilled labour and trade," Economic Modelling, Elsevier, vol. 23(1), pages 1-19, January.
  7. Oliver Budzinski & Jürgen-Peter Kretschmer, 2009. "Horizontal Mergers, Involuntary Unemployment, and Welfare," MAGKS Papers on Economics 200907, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
  8. Costa, Luís F. & Dixon, Huw David, 2011. "Fiscal policy under imperfect competition with flexible prices: An overview and survey," Economics - The Open-Access, Open-Assessment E-Journal, Kiel Institute for the World Economy, vol. 5(3), pages 1-57.

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