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Unions solve the coordination problem and nullify the leverage a corporation has over workers. This leverage imbalance creates imperfect markets, it doesn't fac
by trophycase 8y ago
Unions solve the coordination problem and nullify the leverage a corporation has over workers. This leverage imbalance creates imperfect markets, it doesn't facilitate it. People need to eat, they need to take time to find a new job, they need to build skills. High prices of medicine is a great example: They can get away with charging so much simply because there is an imbalance between how much you need them versus how much they need you.
- _cs2017_ 8y agoCould you elaborate? Why does employer have leverage? Other employers compete for labor and are willing to increase wages if that's what it takes to get the staff they need. There's already a law that prohibits multiple employers from colluding to reduce that competition.