The End of Unions? | Hoover Institution
The gains from right-to-work laws are not just confined to Indiana.
As Venuccio and Lehman report, between 1980 and 2011, overall employment levels rose by 71 percent in right-to-work states.
In non-right-to-work states, they only rose by 32 percent.
That differential does not come at the expense of wages, which grew four times as fast in right-to-work states: 12 percent versus 3 percent elsewhere.
The explanation is clear enough.
The productivity gains from escaping union work rules are shared with employees as employers bid up wages.
The short-term monopoly gains to unionized workers eventually are, over time, more than offset by productivity losses.
The New Deal union model is an economic mistake of major proportions.
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