Saint-Paul, Gilles - C.E.P.R. Discussion Papers - 1997
across regions and on the resulting location of industrial activity. In particular, it studies what happens when wages in … both regions are set by the unions of the ‘West’ – the region with a greater initial relative stock of human capital. We … show that in some circumstances, it is in the interest of the West’s unions to set a speed of wage convergence greater than …