Baumann, Florian; Brändle, Tobias - Institut für Angewandte Wirtschaftsforschung (IAW) - 2015
This paper establishes a link between the extent of collective bargaining and the degree of productivity dispersion within an industry. In a unionised oligopoly model we show that for only small dierences in productivity levels. a sector-union can design a collective wage contract that covers a...