Download This PaperUnion Density, Productivity and Wages
45 Pages Posted: 13 Nov 2017 Last revised: 16 Apr 2023
Abstract
We exploit tax-induced exogenous variance in the price of union membership to identify the effects of changes in firm union density on firm productivity and wages in the population of Norwegian firms over the period 2001 to 2012. Increases in union density lead to substantial increases in firm productivity and wages having accounted for the potential endogeneity of unionization. The wage effect is larger in more productive firms, consistent with rent-sharing models.
Keywords: trade unions, union density, productivity, wages
JEL Classification: J01, J08, J50, J51
Suggested Citation: Suggested Citation
Barth, Erling and Bryson, Alex and Dale-Olsen, Harald, Union Density, Productivity and Wages. IZA Discussion Paper No. 11111, Available at SSRN: https://ssrn.com/abstract=3069454 or http://dx.doi.org/10.2139/ssrn.3069454
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