chapter 7 Flashcards

(54 cards)

1
Q

is an
organization of wage earners
or salary workers established
for the purpose of protecting
their collective interests when
dealing with employers.

A

labor union

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

represents the
broader workforce within a
given economy or labor market.

A

Labor Force

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

represents a
subset of the labor force who
have chosen to join together for
collective bargaining and
advocacy purposes

A

Labor union

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

RATIONALE OF LABOR UNIONS

A

caelc

Collective bargaining.
Advocacy and lobbying.
Education and training.
Legal support.
Community involvement.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

give importance of labor unions

A

✓ Unions raise wages of unionized workers
✓ Unions ensure job security
✓ Unions reduce wage inequality because they raise wages more for low- and
middle-wage workers than for higher-wage workers
✓ Unionized workers receive more generous health benefits than nonunionized
workers.
✓ Unions provide democratic representation.
✓ Strong unions set a pay standard that nonunion employers follow
✓ Unionized workers receive better pension plans.
✓ Unionized workers receive 26% more vacation time and 14% more total paid
leave (vacations and holidays).

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

weapons of workers/labor

A

p-bac

▪ Collective Bargaining -
▪ Arbitration –
▪ Strike –
▪ Picketing –
▪ Boycott –

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

disadvantages of labor unions

A

✓Reduced employment
✓Higher costs
✓Conflicts
✓Strikes

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

what Revolution led to the growth of factories
and mass production.

A

Industrial

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

The first recorded labor union in the United States
was the

A

Federal Society of Journeymen
Cordwainers

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Prior to the __, the public did not
favor unions

A

Great Depression

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

contracts stipulated that the worker would not
join a union

A

Yellow dog

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Trade or labor unions in the Philippines are organizations
sanctioned by __of the Philippines as an
acknowledgment of Filipino workers’ freedom to self
organize.

A

Labor Code

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

aim to promote enlightenment among Filipino
workers concerning their wages, hour of work, and other
legal rights

A

trade unions

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

refers to the number of
people who are interested in or willing to work in a
unionized environment

A

demand for union jobs

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

The demand for union jobs depends on the size of
the wage increase, the amount of employment
loss, job security and the costs of union
membership, and economic conditions affecting
employer decisions to hire unionized worker

A

demand for union jobs

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

refers to the number of
available union jobs in the market

A

The supply of union jobs

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

refers to the impact that Walmart’s
opposition to unions has had on other retailers and the
broader labor market.

A

“Walmart effect”

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

This has led to a general decline in unionization in the retail
and service sectors and has contributed to the overall decline
in unionization in the United States.

A

“Walmart effect”

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

one that is open to any worker in the
industry or sector that it represents, regardless of
their job title or specific place of employment

A

open type

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

is one that is only open to workers
who hold certain job titles or work for specific
employers

A

closed union

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

Types of Labor Unions

A

▪Craft Union
▪Industrial Union
▪Service Sector
▪Public Sector
▪Private sector union

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

the percent difference between union and
non-union wages. This measure can provide some insight into the
extent to which unionized workers earn higher wages than non
unionized workers

A

union wage gap

23
Q

is
an estimate of the percent difference between union and non-union
wages, and it is often used as a measure of the impact of unions on
wages.

A

union wage gap

24
Q

refers to the idea that nonunion firms may offer higher wages to
workers in order to reduce the incentive for them to unionize. This can lead to a
downward bias in estimates of the union wage gap, which is the difference in
wages between unionized and non-unionized workers.

A

threat effect

25
refers to the idea that workers who are unemployed in the union sector may enter the nonunion sector, increasing the supply of labor and potentially decreasing nonunion wages. This can lead to an upward bias in estimates of the union wage gap
spillover effect
26
refers to any organization, union or association of employees in the government sector which exists in whole or in part for the purpose of collective negotiations or mutual aid, interest, cooperation and protection.
Public sector union or public employees organization
27
refers to any union or association of employees in the private sector which exists in whole or in part for the purpose of collective bargaining or mutual aid, interest, cooperation, protection or other lawful purposes
Private sector union or labor organization
28
labor union membership in the ph are classified into 2
Public sector union or public employees organization Private sector union or labor organization
29
Why Has Union Membership Declined?
▪ The structure of the labor market has been changing since the 1960s. ▪ Blue collar workers are less prevalent. ▪ Jobs have shifted to right-to-work states. ▪ There has been a marked increase in labor force participation rates of women. ▪ Workers’ demand for union jobs has declined. ▪ Firms have become more resistant to unions.
30
refers to a company policy that does not restrict the business's employee work force to union members.
Open shop
31
refers to a company that hires only union members. Under this latter arrangement, employees are required to join the existing union within a specified time after they have been hired
Closed shop
32
A union that is a sole seller of labor.
monopoly Unions
33
The union sets the wage, and the firm hires an optimal amount of labor given that wage.
monopoly Unions
34
The model suggests some workers lose their jobs
monopoly Unions
35
The firm and the union could make a deal that makes at least one of them better off without making the other worse off.
Efficient Bargaining
36
t or f The efficient contract curve lies to the left of the labor demand curve.
f The efficient contract curve lies to the right of the labor demand curve.
37
imply that unions and employers bargain over wages and employment.
Efficient contracts
38
occurs when labor contracts require overstaffing.
Featherbedding
39
practices are negotiated to “make work” for the extra staff
Featherbedding
40
occurs when neither party is willing to give in when negotiating
strike
41
costly due to lost production time, strikes shrink the amount of rents over which the parties are negotiating.
strike
42
The fact that “irrational” strikes occur is known as the
Hicks Paradox.
43
can be optimal if workers are not well informed about the firm’s financial status
strikes
44
D = (ŵU – ŵN) /ŵN
Union wage gap
45
The existence of a union sector has two side effects on the nonunion sector.
Threat and Spillover Effects
46
involve nonunion firms off
Threat effects
47
leads the union wage gap to be underestimated.
Threat effects
48
result when workers unemployed in the union sector enter the nonunion sector, thus increasing the supply of labor and decreasing nonunion wages.
49
leads the union wage gap to be overestimated
spillover effect
50
t or f Unionized firms offer a lower payoff to education than nonunionized firms.
t
51
t or f Unions flatten the age-earnings profile
t
52
t or f The dispersion of wages in the unionized sector is 30 percent less than the dispersion of wages in the nonunionized sector
false The dispersion of wages in the unionized sector is 25 percent less than the dispersion of wages in the nonunionized sector
53
package received by union workers is generally worth more than the package received by nonunion workers.
fringe benefits
54
t or f The “union compensation gap” may be 2 or 3 percentage points higher than the union wage gap
t