capital structure when firms face stochastic revenue shocks. We apply a generalized Nash bargaining solution which extends the … wage bargaining literature by incorporating effciency wage considerations, profit-sharing and capital structure. The profit …

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 …

’s bargaining power is sufficiently high (low) and outsourcing will increase workers' income in the second case. For the amount of … optimal international outsourcing, we find that it is in a pure wage bargaining system positively (negatively) affected by a … sufficiently high (low) labor union's bargaining power, while in a wage and profit share bargaining system, a higher union …