Explain the microeconomic concepts of unemployment


Discussion:

Deliverable Length: 1000-1500 words

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

• Unemployment

• 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?

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Microeconomics: Explain the microeconomic concepts of unemployment
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