The Erosion of Union Membership in Germany: Determinants, Densities, Decompositions


Fitzenberger, Bernd ; Kohn, Karsten ; Wang, Qingwei


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URL: http://ub-madoc.bib.uni-mannheim.de/1450
URN: urn:nbn:de:bsz:180-madoc-14507
Document Type: Working paper
Year of publication: 2006
The title of a journal, publication series: None
Publication language: English
Institution: Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
MADOC publication series: Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Subject: 330 Economics
Classification: JEL: J51 ,
Subject headings (SWD): Gewerkschaft , Gewerkschaftsmitglied , Deutschland <Östliche Länder> , Deutschland <Westliche Länder>
Keywords (English): Union membership , union density , correlated random effects probit model , decomposition analysis , East Germany , West Germany
Abstract: Union density in Germany has declined remarkably during the last two decades. We estimate socio-economic and workplace-related determinants of union membership in East and West Germany using data from the German Socio-Economic Panel by means of Chamberlain-Mundlack correlated random effects probit models. Drawing on the estimates, we project net union densities (NUD) and analyze the differences between East and West Germany as well as the corresponding changes in NUD over time. Blinder-Oaxaca decompositions show that changes in the composition of the work force have only played a minor role for the deunionization trends in East and West Germany. In East-West comparison, differences in the characteristics of the work force reflect a lower quality of membership matches in East Germany right after German unification.
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