Bhattacharyya, Ranajoy and Saha, Bibhas (2011): Wage bargaining and quality competition.
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In a standard model of vertical differentiation, wage is assumed to determine the quality. Wage is also subject to bargaining. Increased bargaining power of the worker in the low quality firm reduces quality differential, and increases price competitiveness. The Opposite happens from a similar change in the high quality firm.
|Item Type:||MPRA Paper|
|Original Title:||Wage bargaining and quality competition|
|Keywords:||Wage bargaining; Quality competition|
|Subjects:||C - Mathematical and Quantitative Methods > C7 - Game Theory and Bargaining Theory|
|Depositing User:||Ranajoy Bhattacharyya|
|Date Deposited:||19. May 2011 09:42|
|Last Modified:||15. Feb 2013 22:44|
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