Coimbra, Rui; Lloyd-Braga, Teresa; Modesto, Leonor - C.E.P.R. Discussion Papers - 2002
of local indeterminacy, local bifurcations and (stochastic and deterministic) endogenous fluctuations driven by self … substitutability when unions are sufficiently strong. We also find that Hopf bifurcations and local deterministic endogenous … fluctuations generically occur, with an elasticity of factor substitution the closest to 1 the lower the unions' bargaining power …