MICRO ECONOMICS HOMEWORK ASSIGNMENT PHASE 5

In the article entitled “The Economic Effects of Labor Unions Revisited,”

( https://campus.ctuonline.edu/portal/6/pages/mainframe.aspx?contentframe=/portal/6/Pages/Home.aspx 😉

Vedder and Galloway attempt to prove statistically, using historical data, that labor unions do not have a good effect on the economy. Read the article, and explain the following microeconomic concepts that the authors discuss and how they are related to unions:

• Demand, supply, and equilibrium wage rates of labor
• Unemployment
• Real GDP and economic growth
• Income per capita
• Population growth and aging
• The article focuses on harmful economic effects, but also mentions some positive aspects. What are they?