In a two-country model with trade driven by comparative advantages, it is considered how imperfectly competitive labour markets are affected by lower frictions in international goods trade. Easier goods trading is equivalent to increased mobility of employment across countries and thus a change...

In the wake of the financial and economic crises the ripple effects of which are still felt, the European Commission made efforts to develop novel schemes to address the problem of unemployment attributed to the lack of ample competitiveness within the Single Market. This paper compares the...