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- Title
An Integrated Model of the Economic Effects of Right-to-Work Laws.
- Authors
GAROFALO, GASPER A.; MALHOTRA, DEVINDER M.
- Abstract
This study derives an empirical model which simultaneously traces the effect of Right-to-Work laws on the worker's decision to join the union, the union's decision to set the wage rate, and the firm's decision to employ inputs. The model identifies two channels through which Right-to-Work laws affect these decisions: the wage effect and the productivity effect. Our results show that RTW laws tend to affect economic decisions through the wage effect, because the effect of RTW laws on productivity is small in most states.
- Subjects
UNITED States; RIGHT-to-work laws; LABOR organizing; WAGES; DECISION making; LABOR productivity
- Publication
Journal of Labor Research, 1992, Vol 13, Issue 3, p293
- ISSN
0195-3613
- Publication type
Article
- DOI
10.1007/BF02685487