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Unions and Profits: A meta-regression Analysis

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Author Info

  • Patrice Laroche

    ()
    (CEREFIGE - Centre Européen de Recherche en Economie Financière et Gestion des Entreprises - Université Nancy II : EA3942 - Université de Metz)

  • Hristos Doucouliagos

    (Deakin University - Deakin University)

Abstract

The effect of unions on profits continues to be an unresolved theoretical and empirical issue. In this paper, clustered data analysis and hierarchical linear meta-regression models are applied to the population of forty-five econometric studies that report 532 estimates of the direct effect of unions on profits. Unions have a significant negative effect on profits in the United States, and this effect is larger when market-based measures of profits are used. Separate meta-regression analyses are used to identify the effects of market power and long-lived assets on profits, as well as the sources of union-profit effects. The accumulated evidence rejects market power as a source of union-profit effects. While the case is not yet proven, there is some evidence in support of the appropriation of quasi-rent hypothesis. There is a clear need for further American and non-American primary research in this area.

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Bibliographic Info

Paper provided by HAL in its series Post-Print with number hal-00648569.

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Date of creation: 2009
Date of revision:
Publication status: Published, Industrial Relations, 2009, 48, 1, 146-184
Handle: RePEc:hal:journl:hal-00648569

Note: View the original document on HAL open archive server: http://hal.archives-ouvertes.fr/hal-00648569/en/
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Related research

Keywords: Unions; profit; meta-analysis;

References

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Cited by:
  1. Jan Babecky & Tomas Havranek, 2013. "Structural Reforms and Growth in Transition: A Meta-Analysis," Working Papers IES 2013/14, Charles University Prague, Faculty of Social Sciences, Institute of Economic Studies, revised Oct 2013.
  2. Morikawa, Masayuki, 2010. "Labor unions and productivity: An empirical analysis using Japanese firm-level data," Labour Economics, Elsevier, vol. 17(6), pages 1030-1037, December.
  3. Tomáš Havránek & Zuzana Iršová, 2010. "Meta-Analysis of Intra-Industry FDI Spillovers: Updated Evidence," Czech Journal of Economics and Finance (Finance a uver), Charles University Prague, Faculty of Social Sciences, vol. 60(2), pages 151-174, May.
  4. Jan Babecky & Tomas Havranek, 2014. "Structural reforms and growth in transition," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 22(1), pages 13-42, 01.
  5. Celbis, Mehmet Güney & Nijkamp, Peter & Poot, Jacques, 2013. "How big is the impact of infrastructure on trade? Evidence from meta-analysis," MERIT Working Papers 032, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
  6. Patrice Laroche & Heidi Wechtler, 2011. "The Effects of Labor Unions on Workplace Performance: New Evidence from France," Journal of Labor Research, Springer, vol. 32(2), pages 157-180, June.
  7. Fernando Rios-Avila, 2014. "Unions and Economic Performance in Developing Countries: Case Studies from Latin America," Economics Working Paper Archive wp_787, Levy Economics Institute.
  8. Karina Gose & Abdolkarim Sadrieh, 2013. "Strike, coordination, and dismissal in uniform wage settings," FEMM Working Papers 130008, Otto-von-Guericke University Magdeburg, Faculty of Economics and Management.
  9. Dr Alex Bryson & John Forth, 2009. "Unions and Workplace Performance in Britain and France," NIESR Discussion Papers 2189, National Institute of Economic and Social Research.
  10. Mallick, Debdulal, 2012. "The role of the elasticity of substitution in economic growth: A cross-country investigation," Labour Economics, Elsevier, vol. 19(5), pages 682-694.
  11. Jan Babecky & Tomas Havranek, 2013. "Structural Reforms and Economic Growth: A Meta-Analysis," Working Papers 2013/08, Czech National Bank, Research Department.

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