Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5078239 | International Journal of Industrial Organization | 2009 | 8 Pages |
Abstract
In an international duopoly model, we investigate how trade liberalisation impacts on collective bargaining outcomes when workers are represented by open shop unions. We find that, with intermediate levels of union density, trade liberalisation may lead to higher negotiated wages even if no trade occurs in equilibrium. In addition, we show that union wages may be higher with free trade than in autarky.
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Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Paulo Bastos, Udo Kreickemeier, Peter Wright,