Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/167670
Authors: 
Sell, Friedrich L.
Öllinger, Michael
Year of Publication: 
2017
Series/Report no.: 
Volkswirtschaftliche Diskussionsbeiträge, Universität der Bundeswehr München, Fachgruppe für Volkswirtschaftslehre 2017,3
Abstract: 
In this note, we recall that unions traditionally pursue a policy of pushing higher average wages and, at the same time, for a compression of the structure of wages and salaries, which is some sort of equity. Given the precipitous fall of union density in many, if not all, OECD countries, the actual good climate for minimum wage policy comes at no surprise. Despite the fact that unions do dislike the intervention of labor market policy to the detriment of tariff autonomy, we can show that minimum wages are capable of serving both of the above-mentioned goals of unions and also help increase the overall wage quota in the economy. Hence, It can be concluded that the unions have a double dividend when inviting policy makers to pursue a policy of minimum wages: both the average wage rate can be increased and the dispersion of wages be lowered, ceteris paribus.
Subjects: 
strategy of unions
wage dispersion
average and minimum wages
wage quota
JEL: 
J51
J38
J41
J58
Document Type: 
Working Paper

Files in This Item:
File
Size
259.18 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.