Can insider-outsider theories explain the persistence of unemployment? An econometric study of two British industries

Article Abstract:

An econometric test of the insider-outsider hypothesis explaining the persistence of unemployment (or hysteresis) in the electric engineering and motor vehicle industries in the UK is provided, using industry-specific and aggregate data for the period 1952-1985. Hysteresis was found to be somewhat more prevalent in the motor vehicle industry, which was in decline during this period. An examination of the results indicated that insider power could not be the cause of the industry's decline nor the persistence of unemployment within it.

Models, Displaced workers

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The racial composition of unemployment: the role of unions

Article Abstract:

The racial component of unemployed workers waiting for an opening in a unionized firm is analyzed. It is shown that racial minorities, notably blacks, compose a big portion of applicants in the unionized sector. Reasons for this include the relatively higher wages for minorities in firms with labor unions and the greater abundance of jobs for such minorities in firms which do not discriminate against colored workers.

Labor organizations, Labor Unions, Labor Unions and Similar Labor Organizations, Social aspects, Employment, Minorities, Minority employees

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