Browsing by Subject "wages"

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The trade-off between precommitment and flexibility in trade union wage setting

Anderson, Simon P. ; Devereux, Michael B. (University College Dublin. School of Economics, 1990)

This paper examines two types of contract structures in a model where a trade union supplies labor to an industry, and sets the wage to maximize welfare. Firms' investment is endogenous, and the industry price is stochastic. ...