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Journal of Labor Economics Vol. 4 No. 2 1986

Union Work Rules and Efficiency in the Building Trades

Steven G. Allen

North Carolina State University

Abstract

This paper estimates the effect of union work rules in the building trades on employment and costs by comparing factor demand elasticities for union and nonunion contractors and subcontractors over micro data from two different types of construction. The results show that the elasticities of substitution between labor and nonlabor inputs and own-price elasticities for nonlabor inputs are about the same for union and nonunion contractors. In contrast, the elasticities of substitution among different skill categories of labor and the own-price elasticities for each category are much lower under unionism.

DOI
10.1086/298101
Volume
4
Issue
2
Pages
212-242
Language
en
Sources
openalex crossref

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