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We derive the sub-game perfect Nash equilibria for the foreign direct investment (FDI) game played between two unionised firms. Among other results, we show that FDI is less likely, ceteris paribus, the greater is union bargaining power, the stronger the weight the union attaches to wages, and...
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), there will be excessive entry into a Cournot oligopoly for a homogeneous commodity. However, input markets are often …
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We show that a firm's profits under Cournot oligopoly can be increasing in the number of firms in the industry if wages … are determined by decentralised bargaining in unionised bilateral oligopoly. The intuition for the result is that …
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), there will be excessive entry into a Cournot oligopoly for a homogeneous commodity. However, input markets are often …
Persistent link: https://www.econbiz.de/10011622135