Hur, Jung; Zhao, Laixun - In: Journal of Economic Behavior & Organization 71 (2009) 2, pp. 259-272
Using the labor union's bargaining power as an indication of government policy on labor standards issues, we analyze the competition between a domestic (North) firm and a foreign (South) firm, and their relationship with optimal labor standards (LS). First, we show that the optimal level of LS...