34) Kristy, a production manager at Smart Designs, believes that the formation of labor unions
may have a negative impact on the performance of a company’s stock. Which statement is likely
to strengthen Kristy’s belief?
A) Workers in unionized organizations tend to exhibit lower levels of productivity than workers
in nonunion organizations.
B) Unionized organizations are often required to pay their workers higher wages and offer them
more generous benefits.
C) Studies reveal that unions do not have any positive effects on performance measures, such as
productivity, profits, and stock performance.
D) Unions tend to have a positive impact on the self-esteem of their members.
E) The formation of labor unions is likely to lead to conflicts between social and labor union
goals.
35) Which factor has been associated with the decline in union membership?
A) high regulation in such areas as workplace safety and equal employment opportunity
B) low competition between companies for scarce human resources
C) high job growth in the manufacturing sector of the economy
D) low costs of unionized labor
E) low prospects for growth in the service industry