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Union Retreat and Regional Economic Performance: The UK Experience

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  • Vassilis Monastiriotis

Abstract

Monastiriotis V. (2007) Union retreat and regional economic performance: the UK experience, Regional Studies 41, 1-14. A panel of regional data is used to investigate the impact the well-documented decline in trade unionism in the UK had on the economic performance of its regions. The analysis departs from the traditional firm-level and cross-sectional analyses and looks at the economy-wide effects of unionism. The findings provide evidence in line with theory that predicts that unions will increase wages and unemployment, but they also indicate that unionism is positively related to productivity and incomes, although in all cases the effects are non-linear. It is concluded that unionism is not necessarily a burden for the economy, so long that the beneficial wage/productivity effects outweigh the negative effects on employment. Monastiriotis V. (2007) Le declin syndical et la performance economique regionale: etude de cas du R-U, Regional Studies 41, 1-14. On emploie des donnees regionales provenant d'un echantillon permanent afin d'examiner l'impact bien connu du declin syndical au R-U sur la performance economique regionale. L'analyse s'eloigne des analyses conventionnelles qui se font aupres des entreprises et a partir des donnees ponctuelles, et considere l'impact du syndicalisme a l'echelle economique. Les resultats sont en accord avec la theorie qui prevoit une augmentation des salaires et du chomage a cause des syndicats, mais ils indiquent aussi que le syndicalisme est en correlation etroite avec la productivite et les revenus, bien que, dans tous les egards, l'impact s'avere non-lineaire. On conclut que le syndicalisme ne pese necessairement pas lourdement sur l'economie, pourvu que les retombees positives des salaires/de la productivite l'emportent sur les retombees negatives de l'emploi. Syndicats Performance economique regionale Echantillon permanent Retombees geographiques Monastiriotis V. (2007) Der Ruckzug der Gewerkschaften und die regionale Wirtschaftsleistung: die Erfahrungen in Grossbritannien, Regional Studies 41, 1-14. Anhand eines Panels aus Regionaldaten untersuchen wir, welche Auswirkungen der gut dokumentierte Niedergang des Gewerkschaftswesens in Grossbritannien auf die Wirtschaftsleistung der britischen Regionen hatte. In unserer Analyse gingen wir uber die herkommlichen Analysen auf Firmenebene und Querschnittsanalysen hinaus und untersuchten die wirtschaftsweiten Auswirkungen des Gewerkschaftswesens. Unsere Ergebnisse liefern Belege zur Bekraftigung der Theorie, dass Gewerkschaften zu einem Anstieg von Lohnen und Arbeitslosigkeit fuhren; sie weisen jedoch auch darauf hin, dass Gewerkschaften einen positiven Einfluss auf Produktivitat und Einkommen haben, wobei freilich die Auswirkungen in allen Fallen nicht linearer Natur sind. Wir ziehen den Schluss, dass Gewerkschaften nicht unbedingt eine wirtschaftliche Last darstellen, solange die positiven Auswirkungen auf Lohne und Produktivitat die negativen Auswirkungen auf das Beschaftigungsniveau ausgleichen. Gewerkschaften Regionale Wirtschaftsleistung Paneldaten Raumliche Auswirkungen Monastiriotis V. (2007) Receso de los sindicatos y desempeno economico regional: el ejemplo del Reino Unido, Regional Studies 41, 1-14. Con ayuda de datos de un panel regional, aqui investigamos en que medida tuvo el bien documentado declive del sindicalismo britanico una influencia en el desempeno economico de sus regiones. Nuestro estudio se aleja de los analisis tradicionales de datos entre empresas y datos con diseno transversal y se centra en los efectos del sindicalismo en la economia a todos los niveles. Los resultados obtenidos coinciden con la teoria que preve que los sindicatos aumentan los salarios y el desempleo pero tambien indican que el sindicalismo esta positivamente relacionado con la productividad y los ingresos, aunque en todos los casos los efectos son no lineales. Concluimos que el sindicalismo no es necesariamente una carga para la economia, siempre y cuando los efectos beneficiosos de los salarios y la productividad superen a los efectos negativos del desempleo. Sindicatos Desempeno economico regional Datos del panel Efectos espaciales

Suggested Citation

  • Vassilis Monastiriotis, 2007. "Union Retreat and Regional Economic Performance: The UK Experience," Regional Studies, Taylor & Francis Journals, vol. 41(2), pages 143-156.
    • Handle: RePEc:taf:regstd:v:41:y:2007:i:2:p:143-156
    DOI: 10.1080/00343400601149915
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    References listed on IDEAS

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    1. Vassilis Monastiriotis & Sotirios Zartaloudis, 2010. "Beyond the crisis: EMU and labour market reform pressures in good and bad times," LEQS – LSE 'Europe in Question' Discussion Paper Series 23, European Institute, LSE.
    2. Monastiriotis, Vassilis & Kaplanis, Ioannis, 2011. "Flexible employment and cross- regional adjustment," Working Papers 2072/179671, Universitat Rovira i Virgili, Department of Economics.
    3. Bhattacharyya, Chandril & Gupta, Manash Ranjan, 2020. "Union, Efficiency of Labour and Endogenous Growth," Hitotsubashi Journal of Economics, Hitotsubashi University, vol. 61(2), pages 170-202, December.
    4. Huw Beynon, 2014. "‘Still too much socialism in Britain’: The legacy of Margaret Thatcher," Industrial Relations Journal, Wiley Blackwell, vol. 45(3), pages 214-233, May.
    5. Alex Bryson & Rhys Davies, 2019. "Family, Place and the Intergenerational Transmission of Union Membership," British Journal of Industrial Relations, London School of Economics, vol. 57(3), pages 624-650, September.
    6. Huw Beynon & Helen Blakely & Alex Bryson & Rhys Davies, 2021. "The Persistence of Union Membership within the Coalfields of Britain," British Journal of Industrial Relations, London School of Economics, vol. 59(4), pages 1131-1152, December.
    7. David Nguyen, 2019. "Regional Economic Disparities and Development in the UK," National Institute of Economic and Social Research (NIESR) Policy Papers 10, National Institute of Economic and Social Research.
    8. Huw Beynon & Rhys Davies & Steve Davies, 2012. "Sources of variation in trade union membership across the UK: the case of Wales," Industrial Relations Journal, Wiley Blackwell, vol. 43(3), pages 200-221, May.
    9. Vassilis Monastiriotis & Stylianos Sakkas, 2021. "Employment mobility and labour market flexibility in the EU," JRC Working Papers on Territorial Modelling and Analysis 2021-01, Joint Research Centre.
    10. Alex Bryson & Rhys Davies, 2019. "Accounting for geographical variance in the union satisfaction gap," Industrial Relations Journal, Wiley Blackwell, vol. 50(2), pages 104-125, March.

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