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Concentration, Unionism, and Labor Earnings: A Sample Selection Approach

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  • Belman, Dale L
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    Abstract

    Using a simultaneous equations model of wages and union membership, the elasticity of the wage with respect to market concentration is estimated to be approximately 0.2. The estimate uses a large data set and extensive controls to measure concentration's direct effect on the wage, an indirect effect through unionization, and a feedback effect. The indirect effect represents the majority of concentration's effect. Copyright 1988 by MIT Press.

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    Bibliographic Info

    Article provided by MIT Press in its journal Review of Economics & Statistics.

    Volume (Year): 70 (1988)
    Issue (Month): 3 (August)
    Pages: 391-97

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    Handle: RePEc:tpr:restat:v:70:y:1988:i:3:p:391-97

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    Web page: http://mitpress.mit.edu/journals/

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    Web: http://mitpress.mit.edu/journal-home.tcl?issn=00346535

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    Cited by:
    1. Luciano Fanti & Nicola Meccheri, 2012. "Differentiated Duopoly and Horizontal Merger Profitability under Monopoly Central Union and Convex Costs," Working Paper Series 05_12, The Rimini Centre for Economic Analysis.
    2. Nicola Meccheri & Luciano Fanti, 2012. "Managerial delegation schemes in a duopoly with endogenous production costs: a comparison of sales and relative profit delegation under centralised unionisation," Discussion Papers 2012/137, Dipartimento di Economia e Management (DEM), University of Pisa, Pisa, Italy.
    3. Luciano Fanti & Nicola Meccheri, 2013. "Non-rigid wages and merger profitability reversal under convex costs and centralised unionisation," Discussion Papers 2013/167, Dipartimento di Economia e Management (DEM), University of Pisa, Pisa, Italy.
    4. George J. Borjas & Valerie A. Ramey, 1993. "Foreign Competition, Market Power and Wage Inequality: Theory and Evidence," NBER Working Papers 4556, National Bureau of Economic Research, Inc.

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