MONOPOLY POWER VS. PRODUCTIVITY EFFECTS OF UNION MEMBERSHIP
Nancy O. Cromwell
(Assistant Professor, Department of Economics and Finance, University of South Alabama, Mobile, AL 36688)
Janet C. Hunt‐McCool
(Visiting Professor, Department of Economics, Georgetown University, Washington, DC 20057)
243
Abstract
We test two alternative hypotheses concerning the impact of union membership on the reemployment earnings of displaced workers and find support for the hypothesis that unions exert monopoly power in setting wages rather than providing any direct productivity enhancements. This effect holds in both the short run and over time.
Citation
Cromwell, N.O. and Hunt‐McCool, J.C. (1998), "MONOPOLY POWER VS. PRODUCTIVITY EFFECTS OF UNION MEMBERSHIP", Studies in Economics and Finance, Vol. 19 No. 1/2, pp. 25-48. https://doi.org/10.1108/eb028751
Publisher
:MCB UP Ltd
Copyright © 1998, MCB UP Limited