Economics (McConnell), AP* Edition, 20th EditionChapter 15:
Wage Determination (+ Appendix) After studying this chapter, you should be able to: LO 15.1 | Explain why labor productivity and real hourly compensation track so closely over time. | LO 15.2 | Show how wage rates and employment levels are determined in competitive labor markets. | LO 15.3 | Demonstrate how monopsony (a market with a single employer) can reduce wages below competitive levels. | LO 15.4 | Discuss how unions increase wage rates by pursuing the demandenhancement model, the craft union model, or the industrial union model. | LO 15.5 | Explain why wages and employment are determined by collective bargaining in a situation of bilateral monopoly. | LO 15.6 | Discuss how minimum wage laws affect labor markets. | LO 15.7 | List the major causes of wage differentials. | LO 15.8 | Identify the types, benefits, and costs of "pay-for-performance" plans. | LO 15.9 | (Appendix) Relate who belongs to U.S. unions, the basics of collective bargaining, and the economic effects of unions. |
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