Thursday, May 05, 2005

Relative wage advantage in faculty unions - Market Power
Basically, if you are the average philosophy professor, you earn approximately 17.5% more as a union member than if you were employed in a non-union public university. If you are an average legal studies professor, you earn 10.3% less in a union setting. The report did not break out economists separately, so I am not sure if economists are include as "Business, management, etc." or as "social sciences" (which had a 6.3% relative wage advantage).
Market Power calculated that if you are the average "business, management, etc." professor you earn 0.4 percent less in a union shop.

My conjecture is if you account for quality self sorting between union and nonunion settings you will find in union settings the quality for philosophy profs is relatively high and the quality of legal studies profs is relatively low. I'd further conjecture that union shops make tenure and promotion decisions more mechanical and as a consequence make it easier to shirk and aim for effort that meets the letter but not the spirit of good teaching, research and service.

I rather doubt that such consequences were the aim of the institution, but would be the consequence of unions enforcing an equity-based rather than a market-based pay scale.

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