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Market integration and strike activity


  • MAULEON, Ana


We consider a two-country model of wage determination with private information in unionized imperfectlycomp etitive industries. We investigate the effects of separated product markets opening up for competition as well as of further market integration on the negotiated wage and the maximum delayin reaching an agreement. From an initial situation of reciprocal intra-industrytrade, an increase in product market integration will decrease the maximal delayin reaching an agreement. However, markets opening up for competition have an ambiguous effect on both the wage outcome and the maximum real delaytime in reaching an agreement.

Suggested Citation

  • MAULEON, Ana & VANNETELBOSCH, Vincent, 2005. "Market integration and strike activity," CORE Discussion Papers 2005036, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  • Handle: RePEc:cor:louvco:2005036

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    References listed on IDEAS

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    Cited by:

    1. A. Mauleon & Vincent Vannetelbosch & Cecilia Vergari, 2014. "Unions' Relative Concerns And Strikes In Wage Bargaining," Bulletin of Economic Research, Wiley Blackwell, vol. 66(4), pages 374-383, October.

    More about this item


    economic integration; product market competition; wage bargaining; strike activity;

    JEL classification:

    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
    • F15 - International Economics - - Trade - - - Economic Integration
    • J50 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - General
    • J52 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Dispute Resolution: Strikes, Arbitration, and Mediation
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets


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