In the mainstream economics school of thought, labor unions are:
A) Necessary to facilitate movement of supply and demand to the optimal market wage.
B) Monopolies that try to restrict the supply of labor and benefit only a few at the expense of others.
C) Create unproductive conflict.
D) Important tools for eliminating capitalism.

Question

Quizplus · Accepted Answer

In mainstream economics, labor unions are often viewed as monopolies that restrict the supply of labor, resulting in higher wages for their members but lower employment levels and wages for non-members. This is seen as a negative outcome that benefits only a few at the expense of others.

In the Mainstream Economics School of Thought, Labor Unions Are