Abstract
This study examines the effect of unions on labor’s share of income. Because economic conditions within each industry are important in addressing this issue, this analysis incorporates a more disaggregated approach than has been previously used. Cross-sectional data for the 1950s — a period of more stable unionization — permit an examination of the long-run effect of wage increases on labor’s share. The empirical analysis suggests that higher labor prices have no long-run impact on labor’s share in manufacturing.
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Ahlseen, M.J. The impact of unionization on labor’s share of income. Journal of Labor Research 11, 337–346 (1990). https://doi.org/10.1007/BF02685404
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DOI: https://doi.org/10.1007/BF02685404