A closed shop agreement between unions and employers
A)will decrease wages.
B)allows employers to hire all the labor they desire.
C)will increase wages.
D)will increase the quantity of labor demanded by employers.

Question

Quizplus · Accepted Answer

A closed shop agreement between unions and employers requires that all employees in a workplace must join the union within a specific timeframe. This can lead to the union having a stronger bargaining position and negotiate higher wages for all employees. Thus, a closed shop agreement will most likely increase wages.

A Closed Shop Agreement Between Unions and Employers