Bastos, Paulo; Kreickemeier, Udo - Leverhulme Centre for Research on Globalisation and …
We develop a two-country, multi-sector model of oligopoly in which unionised and non-unionised sectors interact in general equilibrium. The model is used to study the impact of trade liberalisation, deunionisation and firm entry on wages in unionised and non-unionised sectors, and on welfare. We...