Contemporary Labor Economics 9th Edition by Campbell Mcconnell, Stanley Brue, David Macpherson, Robert Powell, David Colander

Exercise 15

What is the commonsense basis for expecting a union wage advantage Explain how each of the following differences between union and nonunion firms might complicate one's determination of whether unions actually are responsible for an observed wage advantage: (a) the demographic makeup of the labor forces, (b) plant sizes, and (c) the amount of capital equipment used per worker.