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How Trade Unions Increase Welfare

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Author Info

  • Alejando Donado

    ()
    (Department of Economics, University of Würzburg, Germany)

  • Klaus Wälde

    (Gutenberg School of Management and Economics, Johannes Gutenberg-Universität Mainz, Germany)

Abstract

Historically, worker movements have played a crucial role in making workplaces safer. Firms traditionally oppose better health standards. According to our in- terpretation, workplace safety is costly for firms but increases average health of workers and thereby aggregate labour supply. A laissez-faire approach in which firms set safety standards is suboptimal as workers are not fully informed of health risks associated with jobs. Safety standards set by better-informed trade unions are output and welfare increasing.

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File URL: http://www.macro.economics.uni-mainz.de/RePEc/pdf/Discussion_Paper_1010.pdf
File Function: First version, 2010
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Bibliographic Info

Paper provided by Gutenberg School of Management and Economics, Johannes Gutenberg-Universität Mainz in its series Working Papers with number 1010.

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Length: 26 pages
Date of creation: 19 Aug 2010
Date of revision: 19 Aug 2010
Handle: RePEc:jgu:wpaper:1010

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Postal: Haus Recht und Wirtschaft I, Jakob-Welder-Weg 9, D-55128 Mainz
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Related research

Keywords: occupational health and safety; trade unions; welfare;

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References

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  1. Booth,Alison L., 1994. "The Economics of the Trade Union," Cambridge Books, Cambridge University Press, number 9780521464673, October.
  2. Agell, J., 1998. "On the Benefits from Rigid Labour Markets: Norms, Market Failures, and Social Insurance," Papers 1998:17, Uppsala - Working Paper Series.
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  5. Booth, Alison L & Chatterji, Monojit, 1998. "Unions and Efficient Training," Economic Journal, Royal Economic Society, vol. 108(447), pages 328-43, March.
  6. Donado, Alejandro & Wälde, Klaus, 2009. "Trade unions go global!," IAB Discussion Paper 200903, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
  7. Matthias Doepke & Fabrizio Zilibotti, 2005. "The macroeconomics of child labor regulation," Staff Report 354, Federal Reserve Bank of Minneapolis.
  8. Malcomson, James M, 1983. "Trade Unions and Economic Efficiency," Economic Journal, Royal Economic Society, vol. 93(369a), pages 51-65, Supplemen.
  9. Paul Fenn & Simon Ashby, 2004. "Workplace Risk, Establishment Size and Union Density," British Journal of Industrial Relations, London School of Economics, vol. 42(3), pages 461-480, 09.
  10. Joshua Hall & Peter Leeson, 2007. "Good for the Goose, Bad for the Gander: International Labor Standards and Comparative Development," Journal of Labor Research, Springer, vol. 28(4), pages 658-676, September.
  11. Janet Currie & Brigitte C. Madrian, 1998. "Health, Health Insurance and the Labor Market," JCPR Working Papers 27, Northwestern University/University of Chicago Joint Center for Poverty Research.
  12. Oswald, Andrew J, 1982. "The Microeconomic Theory of the Trade Union," Economic Journal, Royal Economic Society, vol. 92(367), pages 576-95, September.
  13. Mezzetti, C. & Dinopoulos, E., 1989. "Domestic Unionization And Import Competition," Papers 337, California Davis - Institute of Governmental Affairs.
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Blog mentions

As found by EconAcademics.org, the blog aggregator for Economics research:
  1. How trade unions increase welfare
    by rené böheim in Econ Tidbits on 2012-09-06 15:36:00
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
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Cited by:
  1. Donado, Alejandro, 2013. "Why Do Unionized Workers Have More Nonfatal Occupational Injuries?," Working Papers 0551, University of Heidelberg, Department of Economics.
  2. Hartmut Egger & Daniel Etzel, 2012. "Union Wage Setting and International Trade," CESifo Working Paper Series 3929, CESifo Group Munich.
  3. Haile, Getinet Astatike, 2012. "Union Decline in Britain: Is Chauvinism Also to Blame?," IZA Discussion Papers 6536, Institute for the Study of Labor (IZA).
  4. Haile, Getinet Astatike & Bryson, Alex & White, Michael, 2012. "Heterogeneity in Union Status and Employee Well-Being," IZA Discussion Papers 7075, Institute for the Study of Labor (IZA).
  5. Donado, Alejandro & Wälde, Klaus, 2012. "Globalization, trade unions and labour standards in the North," ILO Working Papers 469448, International Labour Organization.
  6. Uwe Jirjahn, 2013. "Der Beitrag der Arbeitsmarktökonomik zur Erforschung von Gewerkschaften und Tarifvertragsbeziehungen in Deutschland," Research Papers in Economics 2013-03, University of Trier, Department of Economics.

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