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A Nonmonopoly Theory of Union Wages and Hours Worked

Author

Listed:
  • Dwight W. Adamson

    (South Dakota State University)

  • Scott W. Fausti

    (South Dakota State University)

Abstract

An extensive literature review considers the union voice effect on firm performance. A theoretical model of labor demand under uncertainty is developed that hypothesizes a linkage between firm performance and the union voice effect. The model generates a positive union effect on wages and hours worked without union monopoly power. The model provides a more detailed conceptual framework for explaining why the union voice effect may improve efficiency within the firm than that currently found in the literature.

Suggested Citation

  • Dwight W. Adamson & Scott W. Fausti, 2007. "A Nonmonopoly Theory of Union Wages and Hours Worked," Journal of Economic Insight, Missouri Valley Economic Association, vol. 33(1), pages 1-28.
    • Handle: RePEc:mve:journl:v:33:y:2007:i:1:p:1-28
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    Cited by:

    1. Jongmoo Jay Choi & Ming Ju & Jose M. Plehn-Dujowich & Xiaotian Tina Zhang, 2022. "Outsourcing as a cooperative game between the CEO and labor: theory and evidence," Review of Quantitative Finance and Accounting, Springer, vol. 59(3), pages 1095-1131, October.

    More about this item

    JEL classification:

    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
    • J50 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - General

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