Labour sharing in a duopoly model

Junlong Chen, Yuan Ge, Chaoqun Sun and Zhenglin Sun

Applied Economics Letters, 2023, vol. 30, issue 19, 2697-2701

Abstract: This paper constructed a duopoly model of labour sharing, analysed the equilibrium results of four scenarios, and made a comparative analysis. The results show that neither a labour gap nor a labour surplus is conducive to increased profits. Enterprises are positively inclined towards labour sharing if it would result in higher profits – a prerequisite for sharing. The cost of labour sharing affects the equilibrium results. Hence, the cost should be controlled within a reasonable range. Labour sharing has different effects on social welfare in different scenarios.

Date: 2023
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DOI: 10.1080/13504851.2022.2103498

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