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Labour Market Imperfection and HOS Model: Some Counterintuitive Results

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Author Info
Chaudhuri, Sarbajit

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Abstract

This note introduces labour market imperfection in an otherwise Heckscher-Ohlin-Samuelson (HOS) model and provides a theory of unionized wage formation. It demonstrates that this framework satisfies the Stolper-Samuelson theorem and the magnification effect and that it is capable of producing certain results which are contrary to the standard HOS and the Corden and Findlay (1975) results.

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File URL: http://mpra.ub.uni-muenchen.de/18034/
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Publisher Info
Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 18034.

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Date of creation: 20 May 2009
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Handle: RePEc:pra:mprapa:18034

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Related research
Keywords: Labour market imperfection; Heckscher-Ohlin-Samuelson model; Corden and Findlay model; Foreign capital; Trade liberalization.;

Find related papers by JEL classification:
O17 - Economic Development, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements
F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements

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This page was last updated on 2009-12-6.

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