Union Density Effects in the Supermarket Industry
Unions provide higher than competitive wages for members, but their effect on nonunion wages is not clear. We investigate the effect of union density on supermarket wages from 1986 to 1993, a period of declining real wages and declining union membership. Full-information maximum likelihood techniques are used to estimate log wage equations for both the union and nonunion sectors. Decomposition techniques then separate the union wage premium into the relative effects of densities and union membership. We find a significant, positive effect of union density for both union and nonunion employees. This effect explains approximately one-third of the union-nonunion wage differential.
Volume (Year): 23 (2002)
Issue (Month): 4 (October)
|Contact details of provider:|| Web page: http://transactionpub.metapress.com/link.asp?target=journal&id=110581|
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Ashenfelter, Orley & Johnson, George E, 1972.
"Unionism, Relative Wages, and Labor Quality in U.S. Manufacturing Industries,"
International Economic Review,
Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 13(3), pages 488-508, October.
- Orley Ashenfelter & George E. Johnson, 1971. "Unionism, Relative Wages, and Labor Quality in U.S. Manufacturing Industries," Working Papers 382, Princeton University, Department of Economics, Industrial Relations Section..
- Schmidt, Peter & Strauss, Robert P, 1976. "The Effect of Unions on Earnings and Earnings on Unions: A Mixed Logit Approach," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 17(1), pages 204-12, February.
- Daniel Diermeier & Roger B. Myerson, 1994. "Bargaining," Discussion Papers 1089, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- Duncan, Gregory M & Leigh, Duane E, 1985. "The Endogeneity of Union Status: An Empirical Test," Journal of Labor Economics, University of Chicago Press, vol. 3(3), pages 385-402, July.
- Voos, Paula B. & Mishel, Lawrence R., 1985. "The Union Impact on Profits: Evidence from the Supermarket Industry," Working Papers 203012, University of Wisconsin-Madison, Department of Agricultural and Applied Economics, Food System Research Group.
- Budd, J.W. & Na, I.G., 1994.
"The Union Membership Wage Premium for Employees Covered by Collective Bargaining Agreements,"
94-09, Minnesota - Industrial Relations Center.
- Budd, John W & Na, In-Gang, 2000. "The Union Membership Wage Premium for Employees Covered by Collective Bargaining Agreements," Journal of Labor Economics, University of Chicago Press, vol. 18(4), pages 783-807, October.
- Mundlak, Yair, 1978. "On the Pooling of Time Series and Cross Section Data," Econometrica, Econometric Society, vol. 46(1), pages 69-85, January.
- Robinson, Chris, 1989. "Union Endogeneity and Self-selection," Journal of Labor Economics, University of Chicago Press, vol. 7(1), pages 106-12, January.
- Jean Kinsey & Ben Senauer, 1996. "Consumer Trends and Changing Food Retailing Formats," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(5), pages 1187-1191.
- James J. Heckman, 1976. "The Common Structure of Statistical Models of Truncation, Sample Selection and Limited Dependent Variables and a Simple Estimator for Such Models," NBER Chapters, in: Annals of Economic and Social Measurement, Volume 5, number 4, pages 475-492 National Bureau of Economic Research, Inc.
- Kinsey, Jean D. & Senauer, Benjamin, 1996. "Food Marketing In An Electronic Age: Implications For Agricultural Producers," Working Papers 14303, University of Minnesota, The Food Industry Center.
- Dale L. Belman & Paula B. Voos, 1993. "Wage Effects of Increased Union Coverage: Methodological Considerations and New Evidence," ILR Review, Cornell University, ILR School, vol. 46(2), pages 368-380, January.
- Kahn, Lawrence M, 1977. "Union Impact: A Reduced Form Approach," The Review of Economics and Statistics, MIT Press, vol. 59(4), pages 503-07, November.
- Lee, Lung-Fei, 1978. "Unionism and Wage Rates: A Simultaneous Equations Model with Qualitative and Limited Dependent Variables," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 19(2), pages 415-33, June.
- Kathryn L. Shaw, 1984. "A Formulation of the Earnings Function Using the Concept of Occupational Investment," Journal of Human Resources, University of Wisconsin Press, vol. 19(3), pages 319-340.
- Perloff, Jeffrey M & Sickles, Robin C, 1987. "Union Wage, Hours, and Earnings Differentials in the Construction Industry," Journal of Labor Economics, University of Chicago Press, vol. 5(2), pages 174-210, April.
When requesting a correction, please mention this item's handle: RePEc:tra:jlabre:v:23:y:2002:i:4:p:673-684. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Christopher F. Baum)
If references are entirely missing, you can add them using this form.