Labor Unions: part III

I hope we can have no trouble this time. I. Labor Unions increase unemployment and inflation. One thing is certain; that businesses will be making less revenue when labor unions increase wages. "The workers who are in the unions usually end up staying employed while those who are not usually end up the ones being laid off. Again, business owners only want to hire up the point that the final worker hired benefits the business more than s/he costs the business. Thus an increase in the cost of a worker (due to increases in benefits and costs in maintaining higher health standards) leads to less people being hired by businesses. "[1] "The vast majority of manufacturing jobs lost over the past three decades have been among union members–non-union manufacturing employment has risen. "[3] Less profit for businesses is bad too. It decreases expansion, and if low enough, makes the working situation worse. Any amount of loss for a business, be it less profit or a loss, is bad because they will be doing less than they wish. And I have shown that most of the workers losses have been from unionized companies. They can increase prices, thus inflation in the same process. "Either the prices of goods and services in nonunion sectors have to fall and offset the union sector hikes, or people's cash balances need to fall, in terms of their purchasing power. "[2] So here, yes, there is a bypass to inflation, but that would effect other sectors of the economy, and there still is the good possibilty of consumers having less buying power, which in effect is inflation. II. Labor unions encourage sloth. I disagree with you still (pun intended). Your point here is contradictory. If you can not get fired, then being slothful will have as many benefits as working hard. If you get the same amount of wages and security by being sloth than by doing hard work, you will do slothfulness. Using your example, if a dog can get the same 100 pieces of chow by doing nothing than by running one mile, he will do nothing because it is less work for him. III. Unionized workers take advantage of non-unionized workers. They take advantage of non-unionzed workers by getting themselves higher wages, thus giving non-unionized workers lower wages, and they don't even work as hard, much less to meet their higher wages. And on top of that, when the company starts to lose money and the need to let go of employees, they have to do the non-unionized workers first because they are not protected. IV. Labor Unions hurt the consumer. "Unions function as labor cartels. A labor cartel restricts the number of workers in a company or industry to drive up the remaining workers' wages…. . Companies pass on those higher wages to consumers through higher prices, and often they also earn lower profits. Economic research finds that unions benefit their members but hurt consumers generally, and especially workers who are denied job opportunities. "[3] Lower profit passes on higher prices to consumers. V. Unions have laws that take away the power of bosses and executives that are needed to handle bad situations. But if the workers are unionized, it takes a lot for them to be fired. So if the employee in question is unionized, he most likely not get the punishment he deserves. Sources: [1]:. http://socratic-resistance.tumblr.com... [2]:. http://mises.org... [3]:. http://omegahrsolutions.com...