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Corporate merger, organizational form, and control of labor (2000)

Bárcena-Ruiz, Juan Carlos ; Begoña Garzón, María

Springer

Spanish economic review 2 (2000), S. 129-144

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ISSN: 1435-5477

Keywords: JEL classification: J51, L22, L40 ; Key words: Mergers, multiproduct firms, wage bargaining

Source: Springer Online Journal Archives 1860-2000

Topics: Economics

Notes: Abstract. This paper shows that, when two firms merge, the increase in the bargaining strength of the multiproduct firm arising from the merger when negotiating uniform wages with the workers is one of the reasons that account for corporate mergers. Moreover, there is a strategic variable that can be used to decrease union rents in the case of merging, namely, the organization of production decisions.

Type of Medium: Electronic Resource

URL: http://dx.doi.org/10.1007/PL00011437

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