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The following graph shows the labour market for autoworkers. Assume that all firms in the auto industry must hire union workers. The union representing
The following graph shows the labour market for autoworkers. Assume that all firms in the auto industry must hire union workers. The union representing the autoworkers negotiates rules that require auto firms to hire additional workers for each shift, a practice known as featherbedding. Shift one or both of the curves on the following graph to illustrate the impact of the union's actions. Note: Select and drag one or both of the curves to the desired position. Curves will snap into position, so if you try to move a curve and it snaps back to its original position, just drag it a little farther. WAGE RATE (Dollars per worker) Supply bemand Demand Supply The following graph shows the labour market for dockworkers. Assume that all shipping firms must hire union-licensed dockworkers. The union increases membership fees sharply, leading to a reduction in union membership, and a corresponding reduction in the number of union-licensed dockworkers available for work in the shipping industry. Shift one or both of the curves on the following graph to illustrate the impact of the union's actions. WAGE RATE (Dollars per worker) Supply Demand QUANTITY OF LABOUR (Thousands of workers) Demand O Supply
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