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This paper investigates the patterns of bargaining in multinational enterprises (MNEs) in the presence of labor unions … coordination activities. It derives the bargaining regimes which arise as sub-game perfect equilibria, and considers both … unions’ per member transaction costs may attenuate the conflict of interests between bargaining parties as regards the …
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This paper analyzes competition for capital between welfare-maximizing governments in a framework with agglomeration tendencies and asymmetric unionization. We find that a unionized country's government finds it optimal to use tax policy to induce industry to relocate towards a location with a...
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