<p>I'd recommend checking out Labour Economics by Borjas.</p>
<p>It is such a broad topic that really quite a detailed evaluation would have to be conducted.</p>
<p>In particular, the effect of a labour union on levels are unemployment are likely to be affected by the assumptions in your theoretical model.</p>
<ul>
<li>Assumptions of perfect and imperfect competition (of some type) are likely to have different signs and magnitudes.</li>
</ul>
<p>It follows that it is perhaps useful to look for empirical evaluations on the matter. Personally, it's not my field - but it is possible that someone like Borjas has done research, or potentially Kreuger.</p>

CC BY-SA 4.0
2020-11-30T19:28:47.457Z
2020-11-30T19:28:47.457Z
EB3112
<p>What are the currently largely accepted views on the effect of labour unions on employment and wages? Where can I read more about the currently established theoretical models that model labour unions?</p>

CC BY-SA 4.0
2020-11-30T17:42:22.187Z
I would recommend considering narrowing scope of the question a bit or splitting the question into separate smaller ones - unions are not homogenous and they will have different effects on wages and employment contingent on how they are institutionally set up (e.g. is membership mandatory or not, what special privileges they have by government etc). I hope you will get some good answers but It would be difficult to provide good overview on theory, empirical and policy economics in one reasonable size answer, splitting/narrowing the question would help people providing more detailed answers
1muflon1
CC BY-SA 4.0
2020-11-30T18:13:00.717Z
Thanks! I narrowed the question down
Ishan Kashyap Hazarika
<microeconomics><reference-request><labor-economics>
The current economic understanding of the effect of labour unions on employment and wages
Ishan Kashyap Hazarika
# The current economic understanding of the effect of labour unions on employment and wages

(Asked by: username_0 on 2020-11-30)

What are the currently largely accepted views on the effect of labour unions on employment and wages? Where can I read more about the currently established theoretical models that model labour unions?

**Tags:** microeconomics, reference-request, labor-economics

> **Comments:**
> **username_1**: I would recommend considering narrowing scope of the question a bit or splitting the question into separate smaller ones - unions are not homogenous and they will have different effects on wages and employment contingent on how they are institutionally set up (e.g. is membership mandatory or not, what special privileges they have by government etc). I hope you will get some good answers but It would be difficult to provide good overview on theory, empirical and policy economics in one reasonable size answer, splitting/narrowing the question would help people providing more detailed answers  
> **username_0**: Thanks! I narrowed the question down  

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## 1 answers

### Answer by username_2 on 2020-11-30. Score: 2

I'd recommend checking out Labour Economics by Borjas.

It is such a broad topic that really quite a detailed evaluation would have to be conducted.

In particular, the effect of a labour union on levels are unemployment are likely to be affected by the assumptions in your theoretical model.

* Assumptions of perfect and imperfect competition (of some type) are likely to have different signs and magnitudes.

It follows that it is perhaps useful to look for empirical evaluations on the matter. Personally, it's not my field - but it is possible that someone like Borjas has done research, or potentially Kreuger.


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