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A Dynamic Model of Trade Union Behaviour

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Author Info
Kidd, David P
Oswald, Andrew J

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Abstract

This paper constructs a dynamic model of trade-union behavior in which union membership is endogenous. Unemployed workers are assumed to leave their union (as they seem to in reality) and the union must therefore solve an intertemporal optim ization problem. The results imply that conventional static models ov erstate the distortions caused by monopoly unionism and that the rece nt empirical mod-els of union behavior may be misspecified. The paper 's analysis can be seen as an attempt to construct a model of the pos t-entry closed shop. Copyright 1987 by The Review of Economic Studies Limited.

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Publisher Info
Article provided by London School of Economics and Political Science in its journal Economica.

Volume (Year): 54 (1987)
Issue (Month): 215 (August)
Pages: 355-65
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Handle: RePEc:bla:econom:v:54:y:1987:i:215:p:355-65

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  1. Nyssens, Marthe & Van der Linden, Bruno, 1998. "Embeddedness, cooperation and popular-economy firms in the informal sector," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 1998025, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES), revised 00 Oct 1998. [Downloadable!]
    Other versions:
  2. Halko, Marja-Liisa, 2003. "Buffer funding of unemployment insurance in a dynamic labour union model," Research Discussion Papers 24/2003, Bank of Finland. [Downloadable!]
  3. Heshmati, Almas & Haouas, Ilham, 2003. "The Effects of Union Wage-Settings on Firms' Production Factor Decisions," IZA Discussion Papers 689, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  4. Bruno Chiarini & Paolo Piselli, 2000. "Aggregate Fluctuations In A Unionized Labor Market," Working Papers 2_2000, D.E.S. (Department of Economic Studies), University of Naples "Parthenope", Italy. [Downloadable!]
  5. Bruno Chiarini & Massimo Giannini, 2000. "A Model Of Union Behaviour And Benefits Under Uncertainty - Did Thatcher'S Benefits Policy Increase Employment And Reduce Union Power?," Working Papers 5_2000, D.E.S. (Department of Economic Studies), University of Naples "Parthenope", Italy. [Downloadable!]
  6. Adriana Cassoni, 1997. "A brief survey on the role of trade unions in labour market," Documentos de Trabajo (working papers) 0697, Department of Economics - dECON. [Downloadable!]
  7. Bruno Chiarini & Elisabetta Marzano, 2008. "Interaction between Underground Employment and Unions in selected Italian industries," Working Papers 6_2008, D.E.S. (Department of Economic Studies), University of Naples "Parthenope", Italy. [Downloadable!]
  8. Marja-Liisa Halko, 2004. "Buffer funding of unemployment insurance in a dynamic labour union model," Macroeconomics 0404030, EconWPA. [Downloadable!]
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