American Unionization: A Regression Analysis of Union Membership on Wages

Authors

  • Connor Alcorn
  • Savannah Halvorson
  • Dr. Nathanael D. Peach

Keywords:

Labor Unions, Wages, Earnings, United States, Regression

Abstract

This study analyzes the impact of union membership on individuals’ wages and salaries. A microdata sample is pulled from the Annual Social and Economic Supplement of the Current Population Survey, n=10,312. Expanding on the Mincer earnings function, a non-linear model is constructed to estimate the significance of union membership on earnings. Three models are estimated, one in which explanatory variables are considered individually, and two which utilize interaction terms to evaluate whether the impact of union membership on earnings depends on sex or the industry the individual works in. The model finds that unionization increases wages and salaries by 8.23% to 21.37%, with laborers in the blue-collar industry seeing a 17.54% to 44.54% increase in their earnings.

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Published

2024-01-08

Issue

Section

Social Sciences