We quantify the effects of wage bargaining shocks on macroeconomic aggregates using a structural vector auto-regression model for Germany. We identify exogenous variation in bargaining power from episodes of minimum wage introduction and industrial disputes. This narrative information...

Short-term contracts and exogenous productivity growth are introduced in asimple wage bargaining model. The equilibrium utilities corresponding tomilitant union behaviour are independent of the contract length. The wagedynamics are linear if strike is credible (low wage shares) and...

For a two-period screening model of strikes it is shown that joint bargaining instead of enterprise negotiations lowers wages and implies more strikes. These results hold irrespective of the party possessing private information. The sensitivity of strike models to procedural assumptions thus...