A new model of equilibrium involuntary unemployment
نویسندگان
چکیده
منابع مشابه
A new model of equilibrium involuntary unemployment
We show that equilibrium involuntary unemployment emerges in a multi-stage game model where all market power resides with firms, on both the labour and the output market. Firms decide wages, employment, output and prices, and under constant returns there exists a continuum of subgame perfect Nash equilibria involving unemployment and positive profits. A firm does not undercut the equilibriumwag...
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ژورنال
عنوان ژورنال: Economic Theory
سال: 2004
ISSN: 0938-2259,1432-0479
DOI: 10.1007/s00199-003-0391-2