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Wage Inequality, Collective Bargaining, And Relative Employment From 1985 To 1994: Evidence From Fifteen Oecd Countries

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  • Lawrence M. Kahn

Abstract

Using microdata from 1985 to 1994 for fifteen OECD countries, I find that greater union coverage and membership lead to higher relative pay and lower relative employment for less-skilled men, with similar pay effects but only weak evidence of negative employment effects for less-skilled women. Greater economy-wide union coverage or membership leads to lower employment and higher relative wages for young men (with similar but weaker effects for young women), and a greater propensity to attend school for both genders. With few jobs for young people, education may have a low opportunity cost and may enhance one's employability. © 2000 by the President and Fellows of Harvard College and the Massachusetts Institute of Technology

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  • Lawrence M. Kahn, 2000. "Wage Inequality, Collective Bargaining, And Relative Employment From 1985 To 1994: Evidence From Fifteen Oecd Countries," The Review of Economics and Statistics, MIT Press, vol. 82(4), pages 564-579, November.
    • Handle: RePEc:tpr:restat:v:82:y:2000:i:4:p:564-579
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