Title: Segmentation, switching costs and the demand for unionization in Britain
Description: "This paper explains why some employees who favor unionization fail to join, and why others who wish to abandon union membership continue paying dues. Our explanation is based on a model where employees incur switching (search) costs when attempting to abandon (acquire) union membership. Empirical analysis for Britain confirms one of the main predictions from the switching-cost- model that segmentation in the market for unionization persists even when mandatory membership provisions are eliminated and economy-wide density falls. The importance of these and other empirical findings for both theory and policy are discussed"--London School of Economics web site.
Subjects: Costs, Labor union members, Labor unions, Organizing
Places: Great Britain