Now showing 1 - 3 of 3
  • Publication
    Team Aer Lingus and Irish Steel: An Application of the Declining High-Wage Industries Literature
    (University College Dublin. Department of Business Administration ; University of Ulster. Ulster Business School ; University of Limerick. Department of Business Studies, 1996) ;
      193
  • Publication
    Declining industries and monopoly unions : a further argument against protection
    (University College Dublin. School of Economics, 1995-02)
    Wage stickiness is frequently cited as a justification (temporary) protection when a sector is hit by an adverse shock. The present paper, rather than assuming arbitrary wage stickiness, instead models it as an outcome of monopoly union behaviour. It is shown that if intervention was not undertaken before the shock, because of a high marginal social cost of taxation, protection or subsidisation is even less appropriate after the shock occurs.
      164
  • Publication
    TEAM and Irish Steel : an application of the declining high-wage industries literature
    (University College Dublin. School of Economics, 1995-07) ;
    Since wage stickiness generates unemployment or intersectoral labour transfer in excess of that associated with a flexible-wage adjustment process, it is frequently argued that declining industries should be subsidised to some extent to replicate the behaviour of undistorted economies. We discuss three arguments against this "traditional" viewpoint, and find that each applies in the cases of Irish Steel and Team Aer Lingus. Intervention, we find, far from alleviating the competitiveness problems that these sectors face, actually worsens them.
      144