Which of the following is correct?
A)In unionized industries, wages are below the level that would prevail in competitive markets.
B)The introduction of a union in an industry reduces the quantity of labor demanded in that industry, causes some workers in that industry to be unemployed, and reduces wages in the rest of the economy.
C)There is a strong consensus among economists that unions are bad for the U.S. economy.
D)All of the above are correct.

Question

Quizplus · Accepted Answer

Unions typically negotiate for higher wages, which can lead to a reduction in the quantity of labor demanded and potentially cause unemployment within the unionized industry. Additionally, higher wages in unionized sectors can lead to lower wages in non-unionized sectors due to labor market shifts.

Which of the Following Is Correct