Product Market Competition, Union Organizing Activity, and Employer Resistence
We develop and estimate a model of the union's optimal extent of organizing activity that accounts for the decision of employers regarding resistance to union organizing. The central exogenous variable in the analysis is the quantity of quasi-rents per worker available to be split between unions and employers. We measure available quasi-rents per worker as the difference per worker between total industry revenues net of raw materials costs and labor costs evaluated at the opportunity cost of the workers. Using two-digit industry level data for thirty-five U.S. industries for the period 1955 through 1986, we find that both organizing activity and employer resistance to unionization are positively related to available quasi-rents per worker. However, there is still a strong negative trend in union organizing activity and a strong positive trend in employer resistance after controlling for quasi-rents per worker. Thus, the explanation for the decline in union organizing activity and the increase in employer resistance to unionization since the mid 1970's lies elsewhere.
|Date of creation:||May 1990|
|Date of revision:|
|Contact details of provider:|| Postal: |
Web page: http://www.nber.orgEmail:
More information through EDIRC
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.:
- repec:fth:harver:1464 is not listed on IDEAS
- Nancy L. Rose, 1985. "The Incidence of Regulatory Rents in the Motor Carrier Industry," RAND Journal of Economics, The RAND Corporation, vol. 16(3), pages 299-318, Autumn.
- Orley Ashenfelter & James N. Brown, 1985.
"Testing the Efficiency of Employment Contracts,"
573, Princeton University, Department of Economics, Industrial Relations Section..
- Alan Carruth & Andrew Oswald, 1984.
"Miners' Wages in Post-War Britain: An Application of a Model of Trade Union Behavior,"
558, Princeton University, Department of Economics, Industrial Relations Section..
- Carruth, Alan A & Oswald, Andrew J, 1985. "Miners' Wages in Post-war Britain: An Application of a Model of Trade Union Behaviour," Economic Journal, Royal Economic Society, vol. 95(380), pages 1003-20, December.
- Akerlof, George A, 1982. "Labor Contracts as Partial Gift Exchange," The Quarterly Journal of Economics, MIT Press, vol. 97(4), pages 543-69, November.
- Gibbons, R. & Katz, L., 1989. "Does Unmeasured Ability Explain Inter-Industry Wage Differences," Working papers 543, Massachusetts Institute of Technology (MIT), Department of Economics.
- MaCurdy, Thomas E & Pencavel, John H, 1986. "Testing between Competing Models of Wage and Employment Determination in Unionized Markets," Journal of Political Economy, University of Chicago Press, vol. 94(3), pages S3-S39, June.
- Abowd, John M, 1989. "The Effect of Wage Bargains on the Stock Market Value of the Firm," American Economic Review, American Economic Association, vol. 79(4), pages 774-800, September.
- Farber, Henry S, 1978. "Individual Preferences and Union Wage Determination: The Case of the United Mine Workers," Journal of Political Economy, University of Chicago Press, vol. 86(5), pages 923-42, October.
- Murphy, Kevin M & Welch, Finis, 1992. "The Structure of Wages," The Quarterly Journal of Economics, MIT Press, vol. 107(1), pages 285-326, February.
When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:3353. 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: ()
If references are entirely missing, you can add them using this form.