hw12are - others in a monopoly face. The collective voice...

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When looking at unions, most economists consider them a bad idea since they are monopolies for some workers. No country has every person in a union and since the function of a union is to push up wages beyond what they would normally be, economic theory suggests that the workers who are not hired in a union sector must go to a lower wage sector. Thus big economists tend to be anti union since they help some but hurt
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Unformatted text preview: others in a monopoly face. The collective voice idea is that in any workplace there are public goods which are things that cost money to produce but they can help one additional person at no additional cost. In the workplace this is something like safety in the workplace. The collective voice idea is that unions can do a better job of how much of our scarce resources should be allocated to public goods....
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This note was uploaded on 11/24/2011 for the course ARE 150 taught by Professor Martin during the Spring '08 term at UC Davis.

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