The Economic Effects of Labor Unions Revisited

Richard Vedder and Lowell Gallaway

Journal of Labor Research, 2002, vol. 23, issue 1, 105-130

Abstract: Using a variety of statistical techniques, we conclude that labor unions have reduced U.S. output by significant amounts -- trillions of dollars over time. Additionally, the employment-population ratio and the unemployment rate have been adversely affected by the presence of unions. From the very beginning, unionization materially lowered employment in the auto and steel industries, and union militancy in coal mining has contributed importantly to largely eliminating employment in this once large industry. While some individual workers have profited from unions, the aggregate economic impact is strongly negative.

Date: 2002
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