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Wages and Employment under Trade Unionism: Microeconomic Models and Macroeconomic Applications

In: Trade Unions, Wage Formation and Macroeconomic Stability

Author

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  • John Pencavel

    (Stanford University)

Abstract

The first part of this paper is a critical survey of microeconomic research into behavioural models of trade unionism. Although certain formulations of union objectives and models of wage and employment determination in unionized markets have found favor with economists, unfortunately only a little is known about their empirical relevance. The second part of this paper deals with the daunting problems of applying these models at the macroeconomic level. One such model is estimated with data from Sweden’s mining and manufacturing sector from 1968 to 1982.

Suggested Citation

  • John Pencavel, 1986. "Wages and Employment under Trade Unionism: Microeconomic Models and Macroeconomic Applications," Palgrave Macmillan Books, in: Lars Calmfors & Henrik Horn (ed.), Trade Unions, Wage Formation and Macroeconomic Stability, pages 55-83, Palgrave Macmillan.
  • Handle: RePEc:pal:palchp:978-1-349-08596-5_4
    DOI: 10.1007/978-1-349-08596-5_4
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    Cited by:

    1. Jeffrey Clemens, 2019. "Cross‐Country Evidence on Labor Market Institutions and Young Adult Employment through the Financial Crisis," Southern Economic Journal, John Wiley & Sons, vol. 86(2), pages 573-612, October.

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