Question 1

Typically, empirical studies using individual-level data find that union wage mark-ups are largest for which group of workers?

Accepted Answer

A)   union-covered manual workers
B)   manual union members
C)   union-covered non-manual workers
D)   non-manual union membersE) A) and C)
F) A) and D) B

Question 2

The competitive status seniority model predicts which of the following?

Accepted Answer

A)   that older workers are more productive
B)   that Pareto efficient outcomes can lie on the labour demand schedule
C)   that all points along the labour demand schedule are Pareto inefficient
D)   that older workers will be the first to lose their jobs in a downturnE) A) and C)
F) B) and C)

Question 3

The situation where all mutually advantageous bargains have been exhausted is described by which of the following models?

Accepted Answer

A)   monopoly union model
B)   Rees model
C)   right-to-manage model
D)   efficient bargaining modelE) B) and D)
F) A) and B) D

Question 4

The non-union wage is not the same as the wage which would prevail in the absence of unions because of which of the following?

Accepted Answer

A)   displaced union workers will force down wages in the non-unionised sector
B)   union workers are more productive than their non-unionised counterparts
C)   firms will substitute labour for capital in the non-unionised sector
D)   non-union wages are determined by competitive forces and unionised wages are notE) B) and C)
F) A) and D)

Question 5

The collective voice approach implies that unions raise productivity through which of the following mechanisms?

Accepted Answer

A)   reducing the costs of bargaining
B)   reducing the likelihood of bargaining
C)   reducing employee morale
D)   reducing labour turnoverE) B) and C)
F) C) and D)

Question 6

The monopoly union model will equate the marginal revenue from the sale of member services to which of the following?

Accepted Answer

A)   the marginal value product of output
B)   marginal utility
C)   the supply price of member services
D)   the unit cost of outputE) None of the above
F) All of the above

Question 7

In the monopoly union model, unions are able to raise wages above competitive levels but only at the expense of which of the following?

Accepted Answer

A)   reduced employee turnover
B)   reduced employment
C)   increased employee turnover
D)   increased employmentE) All of the above
F) B) and C) B

Question 8

The wage-employment outcome under the situation of bi-lateral monopoly is which of the following?

Accepted Answer

A)   indeterminate
B)   always Pareto efficient
C)   utility-maximising for unions
D)   undesirable for firmsE) A) and C)
F) B) and C)

Exam 6: Trade Unions

Typically, empirical studies using individual-level data find that union wage mark-ups are largest for which group of workers?

Correct Answer
verified
B

The competitive status seniority model predicts which of the following?

Correct Answer
verified

The situation where all mutually advantageous bargains have been exhausted is described by which of the following models?

Correct Answer
verified
D

The non-union wage is not the same as the wage which would prevail in the absence of unions because of which of the following?

Correct Answer
verified

The collective voice approach implies that unions raise productivity through which of the following mechanisms?

Correct Answer
verified

The monopoly union model will equate the marginal revenue from the sale of member services to which of the following?

Correct Answer
verified

In the monopoly union model, unions are able to raise wages above competitive levels but only at the expense of which of the following?

Correct Answer
verified
B

The wage-employment outcome under the situation of bi-lateral monopoly is which of the following?

Correct Answer
verified

Exam 6: Trade Unions

Typically, empirical studies using individual-level data find that union wage mark-ups are largest for which group of workers?

Correct AnswerverifiedB

The competitive status seniority model predicts which of the following?

Correct AnswerverifiedShow Answer

The situation where all mutually advantageous bargains have been exhausted is described by which of the following models?

Correct AnswerverifiedD

The non-union wage is not the same as the wage which would prevail in the absence of unions because of which of the following?

Correct AnswerverifiedShow Answer

The collective voice approach implies that unions raise productivity through which of the following mechanisms?

Correct AnswerverifiedShow Answer

The monopoly union model will equate the marginal revenue from the sale of member services to which of the following?

Correct AnswerverifiedShow Answer

In the monopoly union model, unions are able to raise wages above competitive levels but only at the expense of which of the following?

Correct AnswerverifiedB

The wage-employment outcome under the situation of bi-lateral monopoly is which of the following?

Correct AnswerverifiedShow Answer

Correct Answer
verified
B

Correct Answer
verified

Correct Answer
verified
D

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
B

Correct Answer
verified