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Union Membership and Wage Bargaining When Membership is Not Compulsory

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  • Booth, Alison L
  • Chatterji, Monojit

Abstract

This paper provides a formal model of union wage and membership determination where the union is recognized for bargaining purposes, where membership of the union is not compulsory, and where the union faces a budget constraint in its organization activities. This simultaneous equation model is then used as the basis for estimation of manual wages and union density for the private sector using the 1990 Workplace Industrial Relations Survey. Copyright 1995 by Royal Economic Society.

Suggested Citation

  • Booth, Alison L & Chatterji, Monojit, 1995. "Union Membership and Wage Bargaining When Membership is Not Compulsory," Economic Journal, Royal Economic Society, vol. 105(429), pages 345-360, March.
    • Handle: RePEc:ecj:econjl:v:105:y:1995:i:429:p:345-60
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    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J50 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - General
    • J51 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Trade Unions: Objectives, Structure, and Effects

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