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Individually rational union membership

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  • Bulkley, George
  • Myles, Gareth D.

Abstract

The Analysis of the determinants of union membership has typically met difficulties with the free-rider problem that union membership is not individually-rational. We assume that workers differ in their reservation wages and hence in their choice of contracts, preventing free-riding on the contarct choice of others.
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Suggested Citation

  • Bulkley, George & Myles, Gareth D., 2001. "Individually rational union membership," European Journal of Political Economy, Elsevier, vol. 17(1), pages 117-137, March.
    • Handle: RePEc:eee:poleco:v:17:y:2001:i:1:p:117-137
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    References listed on IDEAS

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    1. Bulkley, George & Myles, Gareth D & Pearson, Bernard R, 2001. "On the Membership of Decision-Making Committees," Public Choice, Springer, vol. 106(1-2), pages 1-22, January.
    2. repec:exe:wpaper:00/09 is not listed on IDEAS
    3. Alison L. Booth, 1985. "The Free Rider Problem and a Social Custom Model of Trade Union Membership," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 100(1), pages 253-261.
    4. Naylor, Robin & Cripps, Martin, 1993. "An economic theory of the open shop trade union," European Economic Review, Elsevier, vol. 37(8), pages 1599-1620, December.
    5. Myles, Gareth D. & Naylor, Robin A., 1995. "Do unions reduce discrimination? A model of Nash bargaining between a union and an employer with discriminatory tastes," Labour Economics, Elsevier, vol. 2(3), pages 249-274, September.
    6. George J. Stigler, 1974. "Free Riders and Collective Action: An Appendix to Theories of Economic Regulation," Bell Journal of Economics, The RAND Corporation, vol. 5(2), pages 359-365, Autumn.
    7. Vannetelbosch, Vincent J., 1997. "Wage bargaining with incomplete information in an unionized Cournot oligopoly," European Journal of Political Economy, Elsevier, vol. 13(2), pages 353-374, May.
    8. Bulkley, George & Myles, Gareth D., 1997. "Bargaining over effort," European Journal of Political Economy, Elsevier, vol. 13(2), pages 375-384, May.
    9. Robin Naylor, 1989. "Strikes, Free Riders, and Social Customs," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 104(4), pages 771-785.
    10. Moreton, David R., 1998. "An open shop trade union model of wages, effort and membership," European Journal of Political Economy, Elsevier, vol. 14(3), pages 511-527, August.
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    Citations

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    Cited by:

    1. Falch, Torberg & Strom, Bjarne, 2007. "Wage bargaining and monopsony," Economics Letters, Elsevier, vol. 94(2), pages 202-207, February.
    2. Rupayan PAL, 2010. "Impact Of Communist Parties On The Individual Decision To Join A Trade Union: Evidence From India," The Developing Economies, Institute of Developing Economies, vol. 48(4), pages 496-528, December.
    3. Schnabel, Claus & Wagner, Joachim, 2005. "Determinants of Union Membership in 18 EU Countries : Evidence from Micro Data, 2002/03," Discussion Papers 31, Friedrich-Alexander University Erlangen-Nuremberg, Chair of Labour and Regional Economics.
    4. Rupayan Pal, 2008. "Estimating the Probability of Trade Union Membership in India: Impact of Communist Parties, Personal Attributes and Industrial Characteristics," Working Papers id:1669, eSocialSciences.
    5. Schnabel, Claus & Wagner, Joachim, 2003. "Trade Union Membership in Eastern and Western Germany: Convergence or Divergence?," IZA Discussion Papers 707, Institute of Labor Economics (IZA).
    6. Gábor R., István, 2004. "Tőkésvállalat vis-à-vis szakszervezet, versus termelőszövetkezet. Peripatetikus tanmese az intézményi racionalitás/diverzitás és a piaci önszabályozás ellentmondásos viszonyáról [Capitalist firm ve," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(7), pages 740-751.
    7. Francesco De Sinopoli & Giovanna Iannantuoni, 2005. "Meetings with Costly Participation: Comment," American Economic Review, American Economic Association, vol. 95(4), pages 1349-1350, September.
    8. Schnabel, Claus, 2002. "Determinants of trade union membership," Discussion Papers 15, Friedrich-Alexander University Erlangen-Nuremberg, Chair of Labour and Regional Economics.
    9. Schnabel, Claus & Wagner, Joachim, 2003. "Determinants of Trade Union Membership in Western Germany: Evidence from Micro Data, 1980-2000," IZA Discussion Papers 708, Institute of Labor Economics (IZA).

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    More about this item

    JEL classification:

    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • J51 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Trade Unions: Objectives, Structure, and Effects

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