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According to the existing literature, capital taxes should not be imposed in the presence of optimal profit taxation in either unionised or competitive labour markets. We show that this conclusion does not hold for an economy with both competitive and unionised sectors, where the competitive...
Persistent link: https://www.econbiz.de/10005765873
agent with bargaining power. In the first stage the parties bargain over the base wage and the profit share. In the second … invariant both to the imperfections prevailing in the equity market and to the relative bargaining power of the negotiating …
Persistent link: https://www.econbiz.de/10005181412
bargaining models between unions and firms. While the Nash bargaining solution is unaffected by minimum wages below initially … bargained wages, we show that such minimum wages can drive up wages – and be harmful to employment – when bargaining follows the …
Persistent link: https://www.econbiz.de/10008511593
bargaining process from opening offers to (dis)agreements and find that uncertainties in surplus production and (even) a very … coarse performance information lead to bargaining asymmetries. In addition, we find that bargainers’ subjective entitlements … bargaining process and significantly contribute to the differences in bargaining outcomes. …
Persistent link: https://www.econbiz.de/10008511615
We study the spillover effects of minimum wages in a laboratory experiment. In a bilateral firm-worker bargaining …
Persistent link: https://www.econbiz.de/10009294100
show that a profit tax and a transaction tax have opposite implications for equilibrium outcome in bargaining. A marginal …
Persistent link: https://www.econbiz.de/10011120474
We experimentally investigate a bargaining environment in which players negotiate over a fixed payment to one player …. Moreover, bargaining frictions increase as risk increases, and we document more frequent disagreements as risk increases. When … bargaining models require some separation between the determinants of bargaining power and fair compensation for risk exposure. …
Persistent link: https://www.econbiz.de/10011086455
We consider a bargaining model in which husband and wife decide on the allocation of time and disposable income. Since … her bargaining power would go down otherwise more strongly, the wife agrees to have a child only if the husband also …
Persistent link: https://www.econbiz.de/10010948876
additional bargaining power. Negotiating as a group may also cause more inefficiencies due to bargaining failure, and this may …
Persistent link: https://www.econbiz.de/10010877880
In a recent paper Konrad and Thum (2014) present a model that shows that unilateral pre-commitment reduces the likelihood of agreement in bilateral negotiations over the provision of a public good when parties have private information over their contribution costs. We test the model in a...
Persistent link: https://www.econbiz.de/10010877951