Union Monopoly and Labor Markets: Impact on Wages, Utility, and Productivity - Prof. Terra, Assignments of Market economy

Download Union Monopoly and Labor Markets: Impact on Wages, Utility, and Productivity - Prof. Terra and more Assignments Market economy in PDF only on Docsity! In-Class Exercise #11 Name: 1) In class we showed that a Union who acts as a monopoly on labor will pick the point on the demand curve that maximizes utility: UM Add to this graph to show that with a more inelas bargain for a higher wage and higher-level of util 2) Show/Discuss the effects of: a) A shift up in the union’s resistance curve. b) A steeper union’s resistance curve on strike duration, wage settlement and firm’s pro 3) An AFL-CIO publication stated, “There is acc workers are more productive than non-unionized productivity in an establishment. This suggests th generally should take a more positive approach to Discuss some reasons why we should expect to se firms compared to non-unionized firms. D tic demand for labor, the union can ity. fits. umulating evidence that unionized workers and that unionization raises at employers and American society unionism and collective bargaining.” e higher output/worker in unionized