Unions attempt to raise wage rates for their members by
A)reducing the supply of the product their members produce
B)lowering barriers to entry so their members have greater opportunities
C)reducing the demand for labor so there are fewer nonunion competitors
D)negotiating a higher-than-competitive wage rate
E)lowering the marginal product of nonunion labor

Question

Quizplus · Accepted Answer

Unions negotiate with employers to secure a higher wage rate than what would be competitive in the absence of the union. This results in higher wages for union members but may also lead to higher unemployment or reduced hours for nonunion workers.

Unions Attempt to Raise Wage Rates for Their Members by