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Bluecollar Workforce

Countering this argument is one expressed by William Allen (1981, 191) of the University of California at Los Angeles, who said that he is . . . dubious . . . of the value of unionization for the economy. Unions are institutionalized agreements among the sellers of labor services not to compete with each other. They are avowedly instruments of collusion . . promoted by government, (they) may be reasonably deemed subversive of the marketto the detriment of the community generally.

Michael Piore (1982), of the Massachusetts Institute of Technology, said that the impact on wage levels is no longer the major objection of most managers to labor unions. He contended that the central objection in the contemporary environment is the rigidity of the union structure which makes it difficult for firms to react in a timely manner to rapidly changing international economic conditions.

One of the most persistent controversies surrounding the activities of labor unions is that of the ability of these activities to alter income distribution patterns within an 5economy, and the nature of such alteration should it occur. The unions claim that they alter the shares of national income between the workers (the owners of labor) and the companies (the owners of capital). For the moment, ignoring any claim that total national income is changed, the labor union argument is, quite simply, that they are able to obtain a greater share of total income for labor at the expense of capital. In this argument, it is held that both union and nonunion labor is benefited by this change in the income distribution patterns. Critics of the union argument contend that either (1) the activities of the labor unions do not result in any significant change in the income distribution patterns,; or (2) the change in income distribution patterns is between union and nonunion labor, rather than between labor and capital.

Several theoretical models...

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Bluecollar Workforce. (1969, December 31). In LotsofEssays.com. Retrieved 03:33, November 23, 2014, from http://www.collegetermpapers.com/viewpaper/1303455759.html
 
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