Consider an economy in which there are initially no labour unions and no other constraints on wages. When labour unions are introduced, they successfully bargain collective agreements in about half of firms in the economy. a. Illustrate the effect of these unions on wages and employment in the union sector and the non-union sector and explain with reference to carefully labeled diagrams. b. Do unions create or increase unemployment in this example? Explain with reference to your diagrams. c. Is the change in net employment greater than, equal to, or less than the loss of jobs in the union sector? Explain with reference to carefully labeled diagrams. Note:-
Consider an economy in which there are initially no labour unions and no other constraints on wages. When labour unions are introduced, they successfully bargain collective agreements in about half of firms in the economy.
a. Illustrate the effect of these unions on wages and employment in the union sector and the non-union sector and explain with reference to carefully labeled diagrams.
b. Do unions create or increase
c. Is the change in net employment greater than, equal to, or less than the loss of jobs in the union sector? Explain with reference to carefully labeled diagrams.
Note:-
- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism.
- Answer completely.
- You will get up vote for sure.
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suppose the canadian government levies a tax of $ t onevery hour worked .firms are required to pay this tax and government spends the money on pensions for workers .workers value these pensions by more than their cost (ie the tax is less than the value of pension to workers ).how does this tax and expenditure program affect employment,wages ,total cost to employers ,total value of compensation to workers
explain with referece to carefully labelled diagram
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