We offer a unified framework to analyze the determination of employment, employee effort, wages, profit-sharing and … offset the negative dilution effect in equilibrium. Leverage is shown to decrease employment and to have a strategic …

the share of the outsourced workforce is not too large, this wage-moderation effect on domestic employment outweighs the … direct substitution effect so that domestic employment increases in unionized firms as outsourcing costs fall. This does not … for employment. However, except for low outsourcingactivities, the impact of these policy measures will become smaller as …