Employment Variation and Wage Rigidity: A Comparison of Union and Non-Union Plants

Jonathan Leonard ()

Institute for Research on Labor and Employment, Working Paper Series from Institute of Industrial Relations, UC Berkeley

Abstract: The unionized sector is often thought of as the dominant focus of wage rigidity and hence employment instability in Keynesian models that attribute unemployment to rigid wages. Where the price mechanism is frozen, quantity changes are amplified. This paper compares intertemporal employment variability during the 1970's at union and non-union plants, and finds no greater cyclical or residual employment variation in union than in non-union plants.

Keywords: Leonard; Employment Variation; wage rigidity; union; non-union (search for similar items in EconPapers)
Date: 1987-04-01
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Citations: View citations in EconPapers (1)

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Related works:
Working Paper: Employment Variation and Wage Rigidity: A Comparison of Union and Non-Union Plants (1987)
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Persistent link: https://EconPapers.repec.org/RePEc:cdl:indrel:qt1qn6g5bc

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