Arbeitspapier

Union wage compression in a Right-to-Manage model

Trade unions are consistently found to compress the wage distribution. Moreover, unemployment affects in particular low-skilled workers. The present paper argues that an extended Right-to-Manage model can account for both of these findings. In this model unions compress the wage distribution by raising wages of workers in low productivity industries (or low-skilled workers) above market clearing levels. Our analysis suggests that the most direct way to test this model would be via a test for stochastic dominance. We also allow for capital adjustments and compare union and non-union wage distributions in a general equilibrium framework.

Sprache
Englisch

Erschienen in
Series: SFB 649 Discussion Paper ; No. 2007,009

Klassifikation
Wirtschaft
Trade Unions: Objectives, Structure, and Effects
Wage Level and Structure; Wage Differentials
Labor Contracts
Labor Force and Employment, Size, and Structure
Thema
Trade unions
wage compression
Lohnpolitik
Lohnstruktur
Ungelernte Arbeitskräfte
Gewerkschaftlicher Organisationsgrad
Arbeitslosigkeit
Lohnverhandlungstheorie
Theorie
OECD-Staaten

Ereignis
Geistige Schöpfung
(wer)
Vogel, Thorsten
Ereignis
Veröffentlichung
(wer)
Humboldt University of Berlin, Collaborative Research Center 649 - Economic Risk
(wo)
Berlin
(wann)
2007

Handle
Letzte Aktualisierung
10.03.2025, 11:43 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Vogel, Thorsten
  • Humboldt University of Berlin, Collaborative Research Center 649 - Economic Risk

Entstanden

  • 2007

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