Unionization and Labor Share of Income Distribution: An Empirical Investigation of OECD Countries
This paper investigates the effects of unionization of the labor force and capital openness on the labor share of the income distribution. This paper empirically studies the relationship between labor share and unionization for OECD countries by regressing labor share on unionization of the labor f...
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| Format: | Article |
| Language: | English |
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International Public Finance Conference/Turkey
2019-07-01
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| Series: | International Journal of Public Finance |
| Subjects: | |
| Online Access: | https://dergipark.org.tr/download/article-file/773534 |
| _version_ | 1797923090311675904 |
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| author | Sacit H. Akdede Sidre G. B. Göcekli |
| author_facet | Sacit H. Akdede Sidre G. B. Göcekli |
| author_sort | Sacit H. Akdede |
| collection | DOAJ |
| description | This paper investigates the effects of unionization of the labor force and capital openness on the labor share of the income distribution. This paper empirically studies the relationship between labor share and unionization for OECD countries by regressing labor share on unionization of the labor
force and other controlling variables. We use the Generalized Least Squares estimation method in panel data for the period of 1999-2011. Our controlling variables include political stability, economic growth, and capital share. We employ different panel data techniques with different hypothesis testing for robustness. Our regression results show that an increase in capital openness decreases labor share while an increase in unionization rate increases it. On the other hand, political stability has a positive effect on labor shares while economic growth seems to affect labor shares negatively. Also, an increase in capital share decreases the labor share but it is not statistically significant. |
| first_indexed | 2024-04-10T14:42:44Z |
| format | Article |
| id | doaj.art-8af0832692c6499d896f1d18f75b9ebb |
| institution | Directory Open Access Journal |
| issn | 2548-0499 2548-0499 |
| language | English |
| last_indexed | 2024-04-10T14:42:44Z |
| publishDate | 2019-07-01 |
| publisher | International Public Finance Conference/Turkey |
| record_format | Article |
| series | International Journal of Public Finance |
| spelling | doaj.art-8af0832692c6499d896f1d18f75b9ebb2023-02-15T16:08:07ZengInternational Public Finance Conference/TurkeyInternational Journal of Public Finance2548-04992548-04992019-07-0141394810.30927/ijpf.588970Unionization and Labor Share of Income Distribution: An Empirical Investigation of OECD CountriesSacit H. Akdede0Sidre G. B. Göcekli1Aydın Adnan Menderes UniversityAydın Adnan Menderes UniversityThis paper investigates the effects of unionization of the labor force and capital openness on the labor share of the income distribution. This paper empirically studies the relationship between labor share and unionization for OECD countries by regressing labor share on unionization of the labor force and other controlling variables. We use the Generalized Least Squares estimation method in panel data for the period of 1999-2011. Our controlling variables include political stability, economic growth, and capital share. We employ different panel data techniques with different hypothesis testing for robustness. Our regression results show that an increase in capital openness decreases labor share while an increase in unionization rate increases it. On the other hand, political stability has a positive effect on labor shares while economic growth seems to affect labor shares negatively. Also, an increase in capital share decreases the labor share but it is not statistically significant.https://dergipark.org.tr/download/article-file/773534UnionizationLabor ShareOpennessIncome Distribution |
| spellingShingle | Sacit H. Akdede Sidre G. B. Göcekli Unionization and Labor Share of Income Distribution: An Empirical Investigation of OECD Countries International Journal of Public Finance Unionization Labor Share Openness Income Distribution |
| title | Unionization and Labor Share of Income Distribution: An Empirical Investigation of OECD Countries |
| title_full | Unionization and Labor Share of Income Distribution: An Empirical Investigation of OECD Countries |
| title_fullStr | Unionization and Labor Share of Income Distribution: An Empirical Investigation of OECD Countries |
| title_full_unstemmed | Unionization and Labor Share of Income Distribution: An Empirical Investigation of OECD Countries |
| title_short | Unionization and Labor Share of Income Distribution: An Empirical Investigation of OECD Countries |
| title_sort | unionization and labor share of income distribution an empirical investigation of oecd countries |
| topic | Unionization Labor Share Openness Income Distribution |
| url | https://dergipark.org.tr/download/article-file/773534 |
| work_keys_str_mv | AT sacithakdede unionizationandlaborshareofincomedistributionanempiricalinvestigationofoecdcountries AT sidregbgocekli unionizationandlaborshareofincomedistributionanempiricalinvestigationofoecdcountries |