MAULEON, Ana; SONG, Huasheng; VANNETELBOSCH, Vincent - Center for Operations Research and Econometrics (CORE), … - 2006
The paper examines the formation of free trade agreements as a network formation game. We consider a three-country model in which international trade occurs between economies with imperfectly competitive product markets. Labor markets can be unionized and non-unionized in each country. We show...