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Business, 15.07.2020 01:01 itsmariahu1927

Unions can raise wages paid to their members in two ways. (i) Unions can negotiate a wage rate that lies above the market-clearing wage. While management cannot pay below that rate, management does have the right to decide how many workers to hire. (ii) Construction unions often have agreements that require management to hire only union members, but they also have the power to control entry into the union. Hence, they can raise wages by restricting labor supply. Graphically depict method (ii) above using a labor supply and a labor demand curve.

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Unions can raise wages paid to their members in two ways. (i) Unions can negotiate a wage rate that...
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