EconPapers    
Economics at your fingertips  
 

Right-to-work Laws and Manufacturing Employment: The Importance of Spatial Dependence

Charlene Marie Kalenkoski and Donald J. Lacombe ()
Additional contact information
Donald J. Lacombe: Department of Economics, Ohio University

Southern Economic Journal, 2006, vol. 73, issue 2, pages 402–418

Abstract: Using 2000 decennial census data, we estimate the relationships between right-to-work (RTW) laws and employment in manufacturing and other industries. Estimates that do not account for geographically correlated omitted factors dramatically overstate the positive relationship between RTW legislation and manufacturing employment. We estimate that RTW legislation is associated with an increase in manufacturing's share of private wage and salary employment of 2.12%, an estimate almost 30% lower than the estimate that does not control for these spatially correlated omitted factors. Results for other industries indicate that RTW legislation is negatively associated with employment shares in the agriculture, forestry, fishing and hunting, and mining industries and some service industries, but is positively associated with employment shares in the information and professional, scientific, management, administrative, and waste management services industries. Improperly controlling for geographic factors can lead to incorrect inferences and misinform policy.

JEL-codes: C21 J58 (search for similar items in EconPapers)
Date: 2006
References: Add references at CitEc
Citations View citations in EconPapers (3) Track citations by RSS feed

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:sej:ancoec:v:73:2:y:2006:p:402-418

Access Statistics for this article

Southern Economic Journal is edited by Laura Razzolini

More articles in Southern Economic Journal from Southern Economic Association
Contact information at EDIRC.
Series data maintained by Laura Razzolini ().

 
Page updated 2014-04-08
Handle: RePEc:sej:ancoec:v:73:2:y:2006:p:402-418