Monopsony in Motion: Imperfect Competition in Labor Markets

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Unionized firms do not go out of business at higher rates than non-union firms. [28] Unionized firms do, however, shed jobs more frequently and expand less frequently than non-union firms. [29] Most studies show that jobs contract or grow more slowly, by between 3 and 4 percentage points a year, in unionized businesses than they do in non-unionized businesses. [30] How can union firms both lose jobs at faster rates than non-union firms and have no greater likelihood of going out of business?

Pages: 416

Publisher: Princeton University Press (March 3, 2003)


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