"Efficient Bargains" as a Wage-Compliance Device in Industries with Market Power.

This paper investigates if, and how, aternative bargaining agentas may sustain (or, emerge) endogenously, under conditions of centralized wage bargaining, in industries with market power. The wage & employment bargains agenta ("Efficient Bargains") is shown to be a strategic device to induce (weak) wage-compliance, used by large, technologically efficient firms; whenever there are incentives for wage-undercutting, on the part of small, labour-intensive firms.