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This document examines foreign direct investment (FDI) when multinationals and labour unions bargain over labour contracts and lobby the self-interested government for taxation and labour market regulation. We demonstrate that right-to-manage bargaining predicts higher returns for FDI than does...
Persistent link: https://www.econbiz.de/10013319895
Persistent link: https://www.econbiz.de/10001766500
This paper deals with firms' decision related to international activities in a twocountry oligopoly model with a homogeneous product and unionized labor markets. Using a three-stage non-cooperative game with firms being first movers, it is found that firms' strategies are affected by the scale...
Persistent link: https://www.econbiz.de/10011347041
Can multinational firms exert more power than national firms by influencing politics through lobbying? To answer this … question, we analyze the extent of national environmental regulation when policy is determined in a lobbying game between a … multinational; this changes for high transportation costs and intermediate damage parameters. When there is no lobbying, welfare …
Persistent link: https://www.econbiz.de/10010340558
regulation when policy is determined in a lobbying game between a government and firm. We compare the resulting regulation levels … lobbying, but that lobbying can reverse the welfare ordering. …
Persistent link: https://www.econbiz.de/10010315488
This paper investigates if multinationals in.uence the political process through lobbying more effectively than … national firms. First, I introduce a model which contrasts a multinational's incentives for lobbying with those of a national … firm. Then the effect of lobbying on the political decision is analyzed. I conclude that multinationals have smaller …
Persistent link: https://www.econbiz.de/10010315594
This paper investigates if multinationals in.uence the political process through lobbying more effectively than … national firms. First, I introduce a model which contrasts a multinational’s incentives for lobbying with those of a national … firm. Then the effect of lobbying on the political decision is analyzed. I conclude that multinationals have smaller …
Persistent link: https://www.econbiz.de/10001729417
regulation when policy is determined in a lobbying game between a government and firm. We compare the resulting regulation levels … lobbying, but that lobbying can reverse the welfare ordering. -- Multinational enterprises ; regulation ; policy formation … ; lobbying ; interest groups ; foreign direct investment …
Persistent link: https://www.econbiz.de/10008696003
It is often argued that capital should flow from aging industrialized economies to countries with fast-growing populations. However, institutional failures and the risk of expropriation substantially reduce developing economies' attractiveness for foreign investors. We analyze the influence of a...
Persistent link: https://www.econbiz.de/10003882307
This paper investigates the effects of different degrees of wage setting centralisation on the incentive of a MNE to locate in a host country, and on the host country's welfare. Decentralised and centralised wage bargaining are considered. The nature of product market competition between the MNE...
Persistent link: https://www.econbiz.de/10014153193