Labour unionisation structure and product innovation

This paper contributes to the recently growing literature by examining the effects of different labour unionisation structures on innovation. Using a Cournot duopoly set up, we investigate the effects of centralised and decentralised labour unions on product innovation. We show that if the products...

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Main Authors: Basak, Debasmita, Mukherjee, Arijit
Format: Article
Published: Elsevier 2018
Subjects:
Online Access:https://eprints.nottingham.ac.uk/49012/
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author Basak, Debasmita
Mukherjee, Arijit
author_facet Basak, Debasmita
Mukherjee, Arijit
author_sort Basak, Debasmita
building Nottingham Research Data Repository
collection Online Access
description This paper contributes to the recently growing literature by examining the effects of different labour unionisation structures on innovation. Using a Cournot duopoly set up, we investigate the effects of centralised and decentralised labour unions on product innovation. We show that if the products are symmetrically differentiated, the incentive for innovation is higher under decentralised labour unions, whereas the innovation incentive can be higher under a centralised labour union if the products are asymmetrically differentiated. Our results show that social welfare is strictly higher under decentralised unions compared to a centralised union.
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institution University of Nottingham Malaysia Campus
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publishDate 2018
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spelling nottingham-490122020-05-04T19:39:00Z https://eprints.nottingham.ac.uk/49012/ Labour unionisation structure and product innovation Basak, Debasmita Mukherjee, Arijit This paper contributes to the recently growing literature by examining the effects of different labour unionisation structures on innovation. Using a Cournot duopoly set up, we investigate the effects of centralised and decentralised labour unions on product innovation. We show that if the products are symmetrically differentiated, the incentive for innovation is higher under decentralised labour unions, whereas the innovation incentive can be higher under a centralised labour union if the products are asymmetrically differentiated. Our results show that social welfare is strictly higher under decentralised unions compared to a centralised union. Elsevier 2018-05-31 Article PeerReviewed Basak, Debasmita and Mukherjee, Arijit (2018) Labour unionisation structure and product innovation. International Review of Economics and Finance, 55 . pp. 98-110. ISSN 1059-0560 Centralised union ; Decentralised union ; Product innovation ; Union utility https://www.sciencedirect.com/science/article/pii/S1059056017309371 doi:10.1016/j.iref.2017.12.013 doi:10.1016/j.iref.2017.12.013
spellingShingle Centralised union ; Decentralised union ; Product innovation ; Union utility
Basak, Debasmita
Mukherjee, Arijit
Labour unionisation structure and product innovation
title Labour unionisation structure and product innovation
title_full Labour unionisation structure and product innovation
title_fullStr Labour unionisation structure and product innovation
title_full_unstemmed Labour unionisation structure and product innovation
title_short Labour unionisation structure and product innovation
title_sort labour unionisation structure and product innovation
topic Centralised union ; Decentralised union ; Product innovation ; Union utility
url https://eprints.nottingham.ac.uk/49012/
https://eprints.nottingham.ac.uk/49012/
https://eprints.nottingham.ac.uk/49012/