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This paper analyses the impact of labour demand and labour market regulations on the corporate structure of fims. It finds that higher wages are associated with lower monitoring, irrespective of whether these high wages are caused by labour market regulations, unions or higher labour demand....
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wages are determined by continuous bargaining between the firm and its employees. The model generates a non …
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wages are determined by continuous bargaining between the firm and its employees. The model generates a non …
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