Union legislation and export platform FDI
This paper examines Foreign Direct Investment in the presence of labour unions. An oligopoly model is developed in which identical firms locate in a host country in order to export to a foreign country. These firms are unionized and compete with foreign firms on the foreign market. We consider the incentives for social dumping via restrictive labour legislation, which we assume can be used by the host country government to affect the bargaining power of unions. We ask whether it is in the interest of the importing foreign country for the host country to relax or to tighten labour laws.
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Volume (Year): 14 (2005)
Issue (Month): 4 ()
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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Dermot Leahy & Catia Montagna, 1999.
"Unionisation and Foreign Direct Investment: Challenging Conventional Wisdom?,"
Dundee Discussion Papers in Economics
097, Economic Studies, University of Dundee.
- Leahy, Dermot & Montagna, Catia, 2000. "Unionisation and Foreign Direct Investment: Challenging Conventional Wisdom?," Economic Journal, Royal Economic Society, vol. 110(462), pages C80-92, March.
- Leahy, D. & Montagna, C., 1999. "Unionisation and Foreign Direct Investment: Challenging Conventional Wisdom?," Papers 99/15, College Dublin, Department of Political Economy-.
- Robin Naylor & Michele Santoni, 2003.
"Foreign direct investment and wage bargaining,"
The Journal of International Trade & Economic Development,
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- Dermot Leahy & Catia Montagna, .
"Temporary Social Dumping, Union Legalisation and FDI: A Note on the Strategic Use of Standards,"
EPRU Working Paper Series
99-08, Economic Policy Research Unit (EPRU), University of Copenhagen. Department of Economics.
- Dermot Leahy & Catia Montagna, 2001. "Temporary social dumping, union legalisation and FDI: a note on the strategic use of standards," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 9(3), pages 243-259.
- Leahy, D., 2000. "Temporary Social Dumping, Union Legalisation and FDI: a Note on the Strategic Use of Standards," Papers 00/2, College Dublin, Department of Political Economy-.
- Casella, Alessandra, 1995. "Free Trade and Evolving Standards," CEPR Discussion Papers 1204, C.E.P.R. Discussion Papers.
- repec:tpr:qjecon:v:116:y:2001:i:2:p:519-562 is not listed on IDEAS
- Barry, Frank & Bradley, John, 1997.
"FDI and Trade: The Irish Host-Country Experience,"
Royal Economic Society, vol. 107(445), pages 1798-1811, November.
- Barry, F & Bradley, J, 1997. ""FDI and Trade : The Irish Host-Country Experience"," Papers 97/13, College Dublin, Department of Political Economy-.
- Kyle Bagwell & Robert W. Staiger, 1999.
"Domestic Policies, National Sovereignty and International Economic Institutions,"
NBER Working Papers
7293, National Bureau of Economic Research, Inc.
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