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Canadian Union-Nonunion Wage Differentials

Author

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  • E. Kenneth Grant
  • Robert Swidinsky
  • John Vanderkamp

Abstract

Using extensive Canadian longitudinal data from the years 1969–71, the authors estimate union-nonunion wage differentials of 12–14 percent for 1969 and 13–16 percent for 1970. These estimates are not adjusted for selectivity because three different tests to identify selectivity yield no evidence of selectivity bias. The authors argue that although testing for selectivity is often essential, selectivity adjustments have resulted in greatly inflated estimates of union-nonunion wage differentials in some studies and should therefore be used with caution.

Suggested Citation

  • E. Kenneth Grant & Robert Swidinsky & John Vanderkamp, 1987. "Canadian Union-Nonunion Wage Differentials," ILR Review, Cornell University, ILR School, vol. 41(1), pages 93-107, October.
    • Handle: RePEc:sae:ilrrev:v:41:y:1987:i:1:p:93-107
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    File URL: http://ilr.sagepub.com/content/41/1/93.abstract
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    Cited by:

    1. Thomas Lemieux, 1993. "Unions and Wage Inequality in Canada and the United States," NBER Chapters, in: Small Differences That Matter: Labor Markets and Income Maintenance in Canada and the United States, pages 69-108, National Bureau of Economic Research, Inc.
    2. Toke Aidt & Zafiris Tzannatos, 2002. "Unions and Collective Bargaining : Economic Effects in a Global Environment," World Bank Publications - Books, The World Bank Group, number 15241, December.
    3. Blanchflower, D-G, 1997. "Changes Over Time in Union Relative Wage Effects in Great Britain and the United States," Papers 15, Centre for Economic Performance & Institute of Economics.

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