In the article entitled “The Economic Effects of Labor Unions Revisited,” Vedder and Galloway attempt to prove statistically, using historical data, that labor unions do not have a good effect on the economy. Read the article, and explain the following microeconomic concepts that the authors discuss and how they are related to unions:
- Demand, supply, and equilibrium wage rates of labor
- Real GDP and economic growth
- Income per capita
- Population growth and aging
- The article focuses on harmful economic effects, but also mentions some positive aspects. What are they?