Entry and Unemployment in a Union-Oligopoly Model
It is commonly acknowledged that a larger number of trade unions is associated with a higher level of employment. We demonstrate that this belief can be wrong, i.e. that the entry of trade unions can increase the number of unemployed workers. This result is stated in a multi-sector economy in which Cournotian trade unions incur no cost and have a nominal objective function. It is obtained when the labour demand function is sufficiently convex such that the trade unions' actions become strong strategic complements. In addition, we show that this counterintuitive result is consistent with a wide range of parameter values under a CES technology.
To our knowledge, this item is not available for
download. To find whether it is available, there are three
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
|Date of creation:||Oct 1999|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: 01334 462420
Fax: 01334 462438
Web page: http://crieff.wordpress.com/
More information through EDIRC
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.:
- Novshek, William, 1980. "Cournot Equilibrium with Free Entry," Review of Economic Studies, Wiley Blackwell, vol. 47(3), pages 473-86, April.
- Jacobsen, Hans Jorgen & Schultz, Christian, 1994.
"On the effectiveness of economic policy when competition is imperfect and expectations are rational,"
European Economic Review,
Elsevier, vol. 38(2), pages 305-327, February.
- Hans Jørgen Jacobsen & Christian Schultz, 1991. "On the Effectiveness of Economic Policy when Competition is Imperfect and Expectations are Rational," Discussion Papers 91-16, University of Copenhagen. Department of Economics.
- Cooper, Russell & Haltiwanger, John, 1996.
"Evidence on Macroeconomic Complementarities,"
The Review of Economics and Statistics,
MIT Press, vol. 78(1), pages 78-93, February.
- Lindbeck, Assar, 1997.
"New Keynesianism and Aggregate Economic Activity,"
Working Paper Series
491, Research Institute of Industrial Economics.
- Dixon, Huw David & Rankin, Neil, 1992.
"Imperfect Competition and Macroeconomics: A Survey,"
CEPR Discussion Papers
636, C.E.P.R. Discussion Papers.
- Dixon, Huw David & Rankin, Neil, 1994. "Imperfect Competition and Macroeconomics: A Survey," Oxford Economic Papers, Oxford University Press, vol. 46(2), pages 171-99, April.
- Dixon, H. & Rankin, N., 1991. "Imperfect Competition and Macroeconomics: a Survey," The Warwick Economics Research Paper Series (TWERPS) 387, University of Warwick, Department of Economics.
- Bulow, Jeremy I & Geanakoplos, John D & Klemperer, Paul D, 1985. "Multimarket Oligopoly: Strategic Substitutes and Complements," Journal of Political Economy, University of Chicago Press, vol. 93(3), pages 488-511, June.
- Rankin, Neil, 1995. "Money in Hart's model of imperfect competition," European Journal of Political Economy, Elsevier, vol. 11(3), pages 557-575, September.
- Stephen Nickell, 1997. "Unemployment and Labor Market Rigidities: Europe versus North America," Journal of Economic Perspectives, American Economic Association, vol. 11(3), pages 55-74, Summer.
- Hart, Oliver, 1982. "A Model of Imperfect Competition with Keynesian Features," The Quarterly Journal of Economics, MIT Press, vol. 97(1), pages 109-38, February.
When requesting a correction, please mention this item's handle: RePEc:san:crieff:9904. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Bram Boskamp)
If references are entirely missing, you can add them using this form.