The Effect of Unions on Labor Markets and Economic Growth: An Analysis of State Data
AbstractDespite voluminous research on unions, there still is no consensus on how unions affect a state's economy. Using a panel of 48 U.S. states for the 1978-1994 period, we estimate a series of simultaneous equations to analyze how unions affect various economic barometers. This provides measures for the partial correlations between unions and performance. The model is then re-estimated using regional dummies to capture fixed effects and to highlight regional differences in the slope of the Phillips curve. We find that unions adversely affect unemployment rates and the growth rates of gross state product (GSP), productivity, and population, while increasing the rate of wage inflation. The impact on the employment growth rate is negative but not significant. A test for fixed effects reveals regional differences in GSP growth. Regional differences in population growth are not significant. Also, the slope of the Phillips curve is significantly different across regions.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Transaction Publishers in its journal Journal of Labor Research.
Volume (Year): 22 (2001)
Issue (Month): 1 (January)
Contact details of provider:
Web page: http://transactionpub.metapress.com/link.asp?target=journal&id=110581
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Kelly Edmiston, 2005.
"Worker's compensation and state employment growth,"
Community Affairs Research Working Paper
2005-04, Federal Reserve Bank of Kansas City.
- Louis J. Pantuosco & Darrell Parker, 2005. "The Determinants of Shirking: Analysis and Evidence on Job Loser Unemployment," Eastern Economic Journal, Eastern Economic Association, vol. 31(1), pages 7-21, Winter.
- Chris Doucouliagos & Patrice Laroche, 2002. "Unions and productivity growth: a meta-analytic review," Cahiers du CEREFIGE 0202, CEREFIGE (Centre Europeen de Recherche en Economie Financiere et Gestion des Entreprises), Universite Nancy 2 - Metz, revised 2002.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Christopher F. Baum).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.