Although there exists a large literature on the effects of trade
unions upon wages, there is no published work that uses
microeconomic data to examine the employment consequences of
unionization. The paper addresses this issue with a new British
data set and shows that, even after the addition of a
substantial set of control variables, there is a strong
association between poor employment performance and the presence
of trade unions. The union employment growth differential is
estimated at approximately -3% per annum.
*Published:
Economic Journal, Vol. 101, No. 407, pp.815-834, July 1991.
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