UNIONS AND CAPITALISM by Charles E. Lindblom


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The posing of a problem, rather than a formula for its solution, this is a thoughtful and at times provocative handling of the conditions underlying the development of top heavy union power, and the road to which it may lead. Though deeply sympathetic with unions and appreciative of their great contribution to American industry in general, the author is fearful that in the end the power of unions may unintentionally upset the American capitalistic system without putting anything in its place. He shows the spiral as higher wages lead to higher prices which lead to either inflation or unemployment. When capitalism swung too far to the right, government intervened to restore fair competition. If labor goes too far the other way, it can force government intervention to establish prices and wages, and thereby undermine competitive economy. Not an easy book to digest, for it is a subject that requires the best thinking of economists, labor leaders and governmental officials, if the American worker is to continue to have the advantages in abundance and security which the American capitalist system has provided.

Publisher: Yale Univ. Press