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Labour Market Efficiency with Discriminatory Unions
Author(s) -
Dobson John R.,
Sampson Anthony A.
Publication year - 2001
Publication title -
bulletin of economic research
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.227
H-Index - 29
eISSN - 1467-8586
pISSN - 0307-3378
DOI - 10.1111/1467-8586.00129
Subject(s) - underemployment , economics , labour economics , group (periodic table) , unemployment , macroeconomics , chemistry , organic chemistry
The paper considers ‘efficient bargains’, with a union that weighs the utilities of its members unequally and negotiates over group employment levels. Such discrimination may lead to socially inefficient overemployment of the dominant group, and underemployment of the group suffering discrimination.