I thought the first 9 pages of this were stunning. It's looks like it's got all the essentials of a rigorous neo-classical defense of labor unions and "market rigidities" as welfare efficient -- and one that would apply especially in developing countries and especially in down turns. Has anyone else done anything like that? It turns the established wisdom on its ear in its own terms. But then, seemingly just before the coup de grace, it verges off the rails and plops into a sea of pollyannish corporatism. Although I guess that part has its virtues as a defense of the Asian/Rhine model. But boy, I'd love to see him develop that first half more. Even though I have to admit, reading even a great neo-classical paper makes me feel dizzy like I've been holding my breath for an hour.
Michael __________________________________________________________________________ Michael Pollak................New York City..............mpollak at panix.com