Labour Market Imperfection and HOS Model: Some Counterintuitive Results
10 Pages Posted: 21 Oct 2009
Date Written: May 21, 2009
Abstract
This note introduces labour market imperfection in an otherwise Heckscher-Ohlin-Samuelson (HOS) model and provides a theory of unionized wage formation. It demonstrates that this framework satisfies the Stolper-Samuelson theorem and the magnification effect and that it is capable of producing certain results which are contrary to the standard HOS and the Corden and Findlay (1975) results.
Keywords: Labour market imperfection, Heckscher-Ohlin-Samuelson model, Corden and Findlay model, Foreign capital, Trade liberalization
JEL Classification: F2, F21, O17
Suggested Citation: Suggested Citation
Chaudhuri, Sarbajit, Labour Market Imperfection and HOS Model: Some Counterintuitive Results (May 21, 2009). Available at SSRN: https://ssrn.com/abstract=1492322 or http://dx.doi.org/10.2139/ssrn.1492322
Do you have negative results from your research you’d like to share?
Feedback
Feedback to SSRN
If you need immediate assistance, call 877-SSRNHelp (877 777 6435) in the United States, or +1 212 448 2500 outside of the United States, 8:30AM to 6:00PM U.S. Eastern, Monday - Friday.