Immigration & Labor Unions

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Presentation transcript:

Immigration & Labor Unions History, Current Trends

Article: Immigration History

Immigration by Decade  

Legal & Illegal Immigration Benefits Costs Affect on GDP, Inflation, Wages?

Illegal Immigration & Wages Low Skilled Workers TIN ↓ # of suppliers ↑ Supply ↑ (shifts right) S1 Price S2 $10hr ----------- E1 ------------- $8hr Q2 E2 -------------- ---------------- D1 Q1 Qty

History of Labor Unions Industrial Revolution (late 1800’s) led to abuse of workers Child labor, dangerous working conditions & long hours were common They eventually formed unions to gain power in negotiations (leverage)

Decline of Labor Unions Union membership has been falling since 1950 1953 peak of 35% of labor force 2006 dropped to 12% of labor force 2009 Gov’t Union Jobs outnumber private union jobs Gov’t = 52%

All make it difficult to negotiate higher wages Unions Lose Power Unions have lost their “bargaining” power (leverage) in USA Outsourcing of Jobs Automation of Jobs Global Competition All make it difficult to negotiate higher wages

Government

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