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Unionization Patterns and Firm Reallocation

  • Edgar Preugschat

    (Norwegian School of Management (BI))

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    Abstract The model's transition dynamics are then used to analyze possible causes of the union decline. For instance, a one-time change in the legal environment (as occurred in many Southern states shortly after WW II) implies gradual adjustments in the unionization rate due to cumulative changes in organizing resources. Moreover, the induced effect on firm entry helps to explain the observed co-evolution of unions and firm reallocation (as it happened with the secular shift of manufacturing to the South).

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    File URL: https://www.economicdynamics.org/meetpapers/2009/paper_1114.pdf
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    Paper provided by Society for Economic Dynamics in its series 2009 Meeting Papers with number 1114.

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    Date of creation: 2009
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    Handle: RePEc:red:sed009:1114
    Contact details of provider: Postal: Society for Economic Dynamics Christian Zimmermann Economic Research Federal Reserve Bank of St. Louis PO Box 442 St. Louis MO 63166-0442 USA
    Fax: 1-314-444-8731
    Web page: http://www.EconomicDynamics.org/society.htm
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    1. Lazear, Edward P, 1983. "A Competitive Theory of Monopoly Unionism," American Economic Review, American Economic Association, vol. 73(4), pages 631-43, September.
    2. Marc J. Melitz, 2003. "The Impact of Trade on Intra-Industry Reallocations and Aggregate Industry Productivity," Econometrica, Econometric Society, vol. 71(6), pages 1695-1725, November.
    3. Alex Bryson & Richard Freeman, 2006. "What Voice Do British Workers Want?," CEP Discussion Papers dp0731, Centre for Economic Performance, LSE.
    4. Ebell, Monique & Haefke, Christian, 2006. "Product Market Regulation and Endogenous Union Formation," IZA Discussion Papers 2222, Institute for the Study of Labor (IZA).
    5. Farber, Henry S, 1990. "The Decline of Unionization in the United States: What Can Be Learned from Recent Experience," Journal of Labor Economics, University of Chicago Press, vol. 8(1), pages S75-105, January.
    6. Robert C. Johansson & Jay S. Coggins, 2002. "Union Density Effects in the Supermarket Industry," Journal of Labor Research, Transaction Publishers, vol. 23(4), pages 673-684, October.
    7. Morris M. Kleiner, 2001. "Intensity of Management Resistance: Understanding the Decline of Unionization in the Private Sector," Journal of Labor Research, Transaction Publishers, vol. 22(3), pages 519-540, July.
    8. Harry C. Katz, 1993. "The decentralization of collective bargaining: A literature review and comparative analysis," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 47(1), pages 3-22, October.
    9. Farber, H.S. & Abowd, J.M., 1990. "Product Market Competition, Union Organizing Activity, And The Employer Resistance," Working papers 551, Massachusetts Institute of Technology (MIT), Department of Economics.
    10. Mathias Dewatripont, 1988. "The Impact of Trade Unions on Incentives to Deter Entry," RAND Journal of Economics, The RAND Corporation, vol. 19(2), pages 191-199, Summer.
    11. Hopenhayn, Hugo A, 1992. "Entry, Exit, and Firm Dynamics in Long Run Equilibrium," Econometrica, Econometric Society, vol. 60(5), pages 1127-50, September.
    12. John DiNardo & David S. Lee, 2002. "The Impact of Unionization on Establishment Closure: A Regression Discontinuity Analysis of Representation Elections," NBER Working Papers 8993, National Bureau of Economic Research, Inc.
    13. Richard B. Freeman & Morris M. Kleiner, 1999. "Do unions make enterprises insolvent?," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 52(4), pages 510-527, July.
    14. John H. Pencavel, 1971. "The demand for union services: An exercise," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 24(2), pages 180-190, January.
    15. David Blanchflower & Alex Bryson, 2002. "Changes over time in union relative wage effects in the UK and the US revisited," NBER Working Papers 9395, National Bureau of Economic Research, Inc.
    16. Harry C. Katz, 1993. "The Decentralization of Collective Bargaining: A Literature Review and Comparative Analysis," ILR Review, Cornell University, ILR School, vol. 47(1), pages 3-22, October.
    17. Bronars, Stephen G & Deere, Donald R, 1993. "Union Organizing Activity, Firm Growth, and the Business Cycle," American Economic Review, American Economic Association, vol. 83(1), pages 203-20, March.
    18. Jones, Stephen R G & McKenna, C J, 1994. "A Dynamic Model of Union Membership and Employment," Economica, London School of Economics and Political Science, vol. 61(242), pages 179-89, May.
    19. Thomas J. Holmes & Michael Walrath, 2007. "Dynamics of Union Organizations: A Look at Gross Flows in the LORS Files," NBER Working Papers 13212, National Bureau of Economic Research, Inc.
    20. Charles Brown & James L. Medoff, 2001. "Firm Age and Wages," NBER Working Papers 8552, National Bureau of Economic Research, Inc.
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