Bruno Chiarini

A Dynamic Union Model with Pensioners Membership

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This paper discusses the change in the membership composition of the three leading Italian trade union confederations during the last 15 years. The analysis emphasizes the remarkable growth of membership among pensioners and the drop among active workers. A dynamic formulation of the union monopoly model with endogenous membership is used to stress how unions are forced to change priorities by the internal structure of membership, pursuing wage moderation and improving employment.

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