You have found the "BEST" Term Paper site on the Planet!

We GUARANTEE that you’ll find an EXEMPLARY College Level Term Paper, Essay, Book Report or Research Paper in seconds or we will write a BRAND NEW paper for you in just a FEW HOURS!!!

150,000+ Papers

Find more results for this search now!

Please enter a keyword or topic phrase to perform a search.
Need a Brand New Custom Essay Now?  click here

Labor Unions

Uploaded by Admin on Jan 22, 1999

Since the foundation of the American Federation of Labor(AFL) in 1886, most unions in the United States have displayed a pragmatic out look, largely compatible with that of business. The general purpose of unions has been to protect and advance the well being of workers, while that of business has been to promote the interests of stockholders. Higher wages and higher profits are compatible over the long run in a growing economy. Conflict does arise, however, from the fact that in the short run higher wages for workers imply lower profits for shareholders. Power, too, is a matter of dispute. In the absence of unions, managers have a monopoly of power over their employees. With unions on the scene, that power must be shared. The standard economic analysis of what gave a particular union the power to raise the pay and benefits of its members was propounded by the eminent English economist Alfred Marshall toward the end of the 19th century. Marshall theorized that the strength of a union depended upon four factors. First, demand for the product should be inelastic, so that there is little, if any, decline in sales in response to price increases. Second, labor costs should be a small portion of the total costs of production, so that a rather large increase in wages would generate only a small increase in the price of the product. Third, the supply of factors that can be used as substitutes for union labor, such as nonunion labor or labor-saving machinery, should be inelastic, so that their price rises substantially as more units are employed. Fourth, the ability of these factors to substitute for union labor should be highly limited; it would be hard to substitute for workers with very high skil! ls or skills that are highly specific to a single employer. Numerous studies have been made to estimate the extent to which unions in the United States have raised the wages of their members above what they would otherwise have been. These studies show substantial differences in the effectiveness of different unions, and that is in the spirit of Marshall's analysis. Substantial variation has also been found in the effectiveness of unions over the course of business cycles. On the average, unions have raised the wages of their members as compared to nonmembers by about 15 percent, somewhat more during periods of depression and somewhat less during periods...

Sign In Now to Read Entire Essay

Not a Member?   Create Your FREE Account »

Comments / Reviews

read full paper >>

Already a Member?   Login Now >

This paper and THOUSANDS of
other papers are FREE at PlanetPapers.

Uploaded by:   Admin

Date:   01/22/1999

Category:   American History

Length:   3 pages (604 words)

Views:   1788

Report this Paper Save Paper
Professionally written papers on this topic:

Labor Unions

  • Are Labor Unions Still Necessary in the 1990s?

    Labor unions and their relevance are evaluated in a paper that consists of twenty pages with the growing contention acknowledged t...

  • Necessity of Labor Unions Assessed

    In ten pages this paper discusses labor unions in an overview of their history and argues why they are no longer needed in the cor...

  • Labor Unions and Organized Crime

    In six pages the Teamsters is the primary focus of this consideration of labor unions and organized crime. Ten sources are cited ...

  • 1990s' Labor Unions

    In six pages this research paper examines labor unions changes during the 1990s including aggressive AFL CIO recruitment, manageme...

  • Labor Unions and Economic Perspectives

    In six pages labor unions and their concerns regarding the economy are addressed. Five sources are cited in the bibliography....

  • Performance Pay and Labor Unions

    In ten pages this paper examines contemporary labor unions in a consideration of wage conditions and the inadequacies of pay incre...

  • Labor Unions' Pros and Cons

    In five pages plus a Roman numeral sentence outline of one pages this paper takes a stand after assessing the pros and cons of lab...

  • Labor Unions and War

    This paper consists of twenty four pages and considers how during the First and Second World Wars and in the Korean War, labor uni...

  • Twenty First Century Labor Unions

    In five pages this paper discusses how labor unions will have to change to successfully confront the challenges of the twenty firs...

  • Labor Unions and Globalization

    In eleven pages this paper examines how labor unions have been affected by globalization. Twelve sources are cited in the bibliog...

View more professionally written papers on this topic »