Economics Chapter 29 The United Auto Workers is an example of

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Chapter 29
Unions and Labor Market Monopoly Power
29.1 Industrialization and Labor Unions
1) The earliest unions in the United States were
A) industrial unions. B) craft unions.
C) public sector unions. D) military unions.
2) Labor unions composed of workers who engage in a particular trade or skill, such as carpentry,
are called
A) craft unions. B) industrial unions.
C) collective unions. D) closed unions.
3) Labor unions that consist of workers from a particular industry, such as automobile
manufacturing, are called
A) craft unions. B) industrial unions.
C) collective unions. D) closed unions.
4) A business enterprise in which employees must belong to the union before they can be hired is
called a(n)
A) craft union. B) industrial union.
C) closed shop. D) union shop.
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5) Which of the following correctly describes the trend in U.S. union membership?
A) Union membership has been decreasing steadily since the 1930s.
B) Union membership decreased from 1930 1960, but has been increasing steadily since.
C) Union membership peaked in the 1960s and has been decreasing steadily since.
D) Union membership declined until the 1980s, but has been increasing steadily since.
6) Which of the following is the largest union in the United States?
A) International Brotherhood of Teamsters
B) International Brotherhood of Electrical Workers
C) National Education Association
D) American Federation of State, County, and Municipal Employees
7) Workers in the United States were granted the legal right to engage in collective bargaining by
the
A) National Labor Relations Act. B) Taft Hartley Act.
C) Landrum Griffin Act. D) Knights of Labor Act.
8) Collective bargaining refers to
A) negotiations between workers and health officials.
B) negotiations between management of a company and a labor union.
C) farming methods in Marxist states.
D) the process of electing union leaders.
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9) Which of the following is a correct statement about unions in the United States?
A) The trend away from manufacturing and the deregulation of certain industries has
promoted unionization of the U.S. workforce.
B) Half of the top ten U.S. unions now have members who work in service and government
occupations.
C) Since the 1960s, there has been a gradual increase in the proportion of U.S. workers who
are members of unions.
D) Half of all U.S. workers are union members.
10) The United Auto Workers is an example of
A) a public sector union. B) a craft union.
C) an industrial union. D) a socialist union.
11) Which of the following types of unions did the CIO promote?
A) Craft unions B) Public sector unions
C) Industrial unions D) Military unions
12) The United Steel Workers Union is an example of
A) a craft union. B) an auto union.
C) an industrial union. D) a blue collar union.
13) The AFL and CIO merged because it was thought that
A) organized labor would grow faster as a result.
B) union pension funds would shrink as a result.
C) strikes could be averted.
D) managers would be more sympathetic to unions.
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14) When workers boycott a company because it does business with a firm whose employees are on
strike, that is a
A) secondary boycott. B) primary boycott.
C) strike. D) sympathy strike.
15) If a firm is a union shop, then
A) a worker may elect to either join or not join the union.
B) only workers who have been union members for two years may be employed.
C) only union members may be employed by the firm.
D) a non union worker may be hired but must join the union within a certain time period.
16) A right to work law makes it illegal for
A) employers to refuse to hire union workers.
B) union membership to be a requirement for continued employment in any establishment.
C) union membership to be denied on the basis of race, gender, or national origin.
D) a union to exist in a state.
17) A closed shop is a business enterprise in which
A) employees cannot belong to a union when they are employed, and cannot join a union and
keep working there.
B) employees must join the union to maintain employment.
C) employees must belong to the union before they can be employed.
D) employees cannot belong to the union when they are hired, but may join the union later
and keep their jobs.
18) Laws that make it illegal to require union membership as a condition of continuing employment
in a firm are
A) union shop laws. B) right to work laws.
C) closed shop laws. D)
j
urisdictional laws.
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19) A legal arrangement whereby a firm can hire only union labor is called
A) a union shop. B) a closed shop. C) a sweat shop. D) an open shop.
20) The type of labor agreement that requires workers to be union members prior to being
considered for employment is a
A) right to work agreement. B) closed shop agreement.
C) union shop agreement. D) open shop agreement.
21) A company can hire non union workers, but a condition of their employment is that they must
join the union within their first 90 days on the job. This is an example of a
A) right to work law. B) closed shop.
C) union shop. D) voluntary craft union.
22) The percentage of U.S. workers in the private sector who belong to unions is currently
A) greater than 50 percent. B) approximately 20 percent.
C) approximately 12 percent. D) approximately 8 percent.
23) Which piece of legislation allowed states to pass right to work laws?
A) Wagner Act B) Landrum Griffin Act
C) Taft Hartley Act D) National Industrial Recovery Act
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24) A state with right to work laws would most likely have
A) higher employment levels than neighboring states without such laws.
B) more workers benefits than neighboring states without such laws.
C) more union workers than neighboring states without such laws.
D) more worker safety requirements than neighboring states without such laws.
25) The Taft Hartley Act of 1947 outlawed
A) strikes.
B) make work rules and forcing unwilling workers to join a union.
C) right to work states.
D) none of the above.
26) A boycott of products sold by companies that are dealing with a company whose workers are
on strike is a
A)
j
urisdictional dispute. B) sympathy strike.
C) right to
b
oycott law. D) secondary boycott.
27) A closed shop is one in which
A) a union is prohibited.
B) some members belong to the union while others do not.
C)
b
elonging to a union is a condition of employment.
D) the union is a co manager of the day to day operations of the firm.
28) The Taft Hartley Act
A) permits states to outlaw unions.
B) permits states to pass right to work laws.
C) encourages unions to engage in sympathy strikes.
D) encourages unions to engage in secondary boycotts.
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29) A right to work state is one in which
A) unions are illegal.
B) there is guaranteed employment for all citizens.
C) the union shop is prohibited.
D) the closed shop is permitted.
30) A union is striking a steel company, and then, to put more pressure on the steel company, also
promotes a boycott against an auto company that buys steel from the steel company. This latter
action is
A) a sympathy strike, and is illegal under the Taft Hartley Act.
B) a secondary boycott, and is legal under the Landrum Griffin Act.
C) a secondary boycott, and is illegal under the Taft Hartley Act.
D) a sympathy strike, and is legal under the Wagner Act.
31) The president of the United States can obtain a court injunction that will stop a strike for an
80 day cooling off period if the strike is expected to imperil national safety or health. This
power is granted in the
A) Wagner Act. B) Landrum Griffin Act.
C) National Industrial Recovery Act. D) Taft Hartley Act.
32) Which of the following is legal under the Taft Hartley Act?
A) Closed shops B) Collective bargaining
C) Secondary boycotts D) Sympathy strikes
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33) Union membership, in terms of percentage of the U.S. civilian labor force,
A) has increased steadily since the passage of the Wagner Act.
B) peaked about 1960 and has since declined.
C) was over 50 percent in 1987.
D) has increased dramatically since 1970.
34) Deregulation has contributed to
A) an increase in union membership. B) declines in union membership.
C) higher wages in unions. D) an increase in union power.
35) According to the text, private sector union membership has fallen to
A) about 8 percent of the private sector labor force.
B) zero.
C) about 25 percent of all U.S. workers.
D) about 12 percent of the entire workforce.
36) Collective bargaining in the United States typically involves negotiations between
A) the government and management over the minimum wage law.
B) the management of a company and the leaders of the union over the wages and fringe
benefits to be offered.
C) an individual and her boss over the appropriate salary level.
D) union and nonunion employees regarding work rules.
37) Which of these nations has the highest rate of union membership (as a share of total
employment)?
A) India B) The United States
C)
J
apan D) Sweden
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38) For the past several decades, union membership in the United States has been declining. What
has been happening in the rest of the world?
A) Union membership has been increasing in almost every other country.
B) In almost every other nation, union membership has held constant.
C) In most cases, union membership in other nations has also been falling.
D) We do not know because other nations do not keep these statistics.
39) A craft labor union is made up of
A) groups of workers in an individual trade.
B) all the workers in a firm such as General Motors.
C) firms that employ similar labor skills.
D) an organization that controls the labor market in a particular industry.
40) The first labor unions in the United States were
A) public sector unions. B) industrial unions.
C) guilds. D) craft unions.
41) Labor unions are organizations that
A) try to secure more opportunities for more workers in the economy.
B) try to secure economic improvements for all workers.
C) try to secure economic improvements for their members.
D) try to make labor markets more competitive.
42) A primary objective of labor unions is to
A) secure equal pay for its members.
B) have equal power with their employer.
C) seek better pay and improved work conditions.
D) all of the above
E) none of the above
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43) A labor union is likely to seek all of the following EXCEPT
A) economic improvements for their members.
B) safer working conditions.
C) increased competitiveness in the labor market.
D) increased job security for its members.
44) Negotiations between the management of a company and the management of a union for the
purpose of setting a mutually agreeable contract on wages, fringe benefits and working
conditions for all employees in a union is know as
A) a closed shop. B) a union shop.
C) collective bargaining. D) an industrial union.
45) Bargaining between the management of a company and the management of a union is
A) a closed shop. B) a bilateral monopoly.
C) a craft union. D) collective bargaining.
46) The Knights of Labor was
A) a craft union that tried to restrict immigration into the United States.
B) an organization of skilled labor that tried to increase technical training after the German
model.
C) an organization of both unskilled and skilled workers that pushed for an eight hour
workday and equal pay for men and women.
D) an industrial union composed of military personnel that tried to improve military life.
47) Samuel Gompers served as the first leader of the
A) Knights of Labor. B) American Federation of Labor.
C) Congress of Industrial Organizations. D) United Steel Workers.
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48) Prior to World War I, the U.S. government s attitude towards labor unions was one of
A) indifference.
B) support.
C) hostility.
D) support, except when it came to unions of public employees.
49) An industrial union is
A) a union composed of public employees.
B) a union composed of workers who are in a specific geographic area.
C) a union composed of workers who are employed in a particular industry.
D) a union composed of workers who engage in a particular trade or skill.
50) A labor union that consists of workers from a particular industry is a(n)
A) closed shop. B) industrial union.
C) union shop. D)
b
ilateral monopoly.
51) The CIO was formed as a(n)
A) closed shop. B) association of industrial unions.
C) union shop. D)
b
ilateral monopoly.
52) The United Steelworkers is an example of a(n)
A) craft union. B) industrial union.
C) public sector union. D) guild.
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53) The Service Employees International Union is an example of a(n)
A) guild. B) craft union.
C) industrial union. D) public sector union.
54) The American Federation of State, County, Government and Municipal Employees is an example of
a(n)
A) guild. B) craft union.
C) industrial union. D) public sector union.
55) The Wagner Act
A) permitted unions to engage in collective bargaining.
B) permitted states to pass right to work laws.
C) restricted activities of heads of unions that were not beneficial to union members.
D) mandates compulsory arbitration in some key industries.
56) The CIO was founded by
A) Samuel Gompers. B)
J
immy Hoffa.
C)
J
ohn L. Lewis. D) George Meany.
57) A business enterprise in which employees must belong to the union before they can be hired is
A) a closed shop. B) a union shop.
C) a jurisdictional dispute. D) an industrial union.
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58) The United Auto Worker (UAW) would best be classified as
A) a craft union.
B) an industrial union.
C) a guild.
D) closed shop union.
E) none of the above
59) A closed shop is a
A) strike by a union in sympathy with another union s strike or cause.
B) dispute involving two or more unions over which should have control of a particular
jurisdiction.
C)
b
usiness enterprise in which employees must belong to the union before they can be hired
and must remain in the union after they are hired.
D) legal environment in which businesses may hire nonunion members conditional on their
joining the union by some specified date after employment begins.
60) A business enterprise that allows the hiring of nonunion members conditional on their joining
the union is
A) a closed shop. B) a union shop.
C) a jurisdictional dispute. D) an industrial union.
61) A union shop is a
A) strike by a union in sympathy with another union s strike or cause.
B) dispute involving two or more unions over which should have control of a particular
jurisdiction.
C)
b
usiness enterprise in which employees must belong to the union before they can be hired
and must remain in the union after they are hired.
D)
b
usiness which may hire nonunion members conditional on their joining the union by
some specified date after employment begins.
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62) A disagreement involving two or more unions over which should have control over a particular
firm or industry is
A) a closed shop. B) a union shop.
C) a jurisdictional dispute. D) an industrial union.
63) A jurisdictional dispute is a
A) strike by a union in sympathy with another union s strike or cause.
B) dispute involving two or more unions over which should have control of a particular
jurisdiction.
C)
b
usiness enterprise in which employees must belong to the union before they can be hired
and must remain in the union after they are hired.
D) legal environment in which businesses may hire nonunion members conditional on their
joining the union by some specified date after employment begins.
64) The employees of Ajax cookies are on strike. Jane has decided not to shop at any store that is
still selling Ajax cookies. This is known as
A) a closed shop. B) a union shop.
C) a sympathy strike. D) a secondary boycott.
65) The welders union at Ajax is on strike. The maintenance union has decided to walk out in
support of the welders union. This is known as
A) a closed shop. B) a union shop.
C) a sympathy strike. D) a secondary boycott.
66) A right to work law makes it illegal
A) to prevent union members from working in any firm.
B) to fire a worker who has joined a union or who tries to organize a union at any firm.
C) to inquire whether a prospective employee is a member of a union or not.
D) for union membership to be a requirement for continued employment in any firm.
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67) Legislation that makes it illegal to require union membership as a condition of continuing
employment is the
A) National Labor Relations Act. B) Wagner Act.
C) Congress of Industrial Organizations. D) collection of right to work laws.
68) The Taft Hartley Act made all of the following illegal EXCEPT
A)
j
urisdictional disputes.
B) the Congress of Industrial Organizations.
C) make to work laws.
D) closed shops.
69) The Taft Hartley Act of 1947 made
A) union shops illegal. B) closed shops illegal.
C) sympathy strikes legal. D) secondary boycotts legal.
70) The United Auto Workers is striking against Ford. The Teamsters refuse to deliver steel to Ford.
This is an example of
A) a jurisdictional dispute and is illegal under the Taft Hartley Act.
B) a secondary boycott and is illegal under the Taft Hartley Act.
C) a sympathy strike and is illegal under the Taft Hartley Act.
D) a closed shop and is illegal under the Wagner Act.
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71) Which statement concerning powers granted the President of the United States by the
Taft Hartley Act is true?
A) The President can obtain an injunction that will stop a strike, if the strike involves
government workers only.
B) The President can require management to negotiate with a union and if the firm s
management refuses, the President can appoint an arbitrator to resolve the conflict.
C) The President can obtain an injunction that will stop a strike for an eighty day cooling
off period if the strike is expected to imperil national safety or health.
D) The President can obtain an injunction that will stop a strike indefinitely.
72) Since the 1970s, union membership in the U.S. has been
A) rising. B) remaining constant.
C) declining. D) erratic.
73) Which of the following has been the largest organized group of U.S. unions during the past 50
years?
A) AFL CIO B) AFL C) CIO D) Change to Win
74) In 2005, which union organization was formed out of the AFL CIO membership?
A) National Brotherhood of Teamsters B) Service Employees International Union
C) American Federation of Workers D) Change to Win
75) Recently, two construction industry unions also left the AFL CIO and joined with ironworkers
and bricklayers unions to form
A) the National Brotherhood of Teamsters. B) the National Construction Alliance.
C) the American Federation of Workers. D) Change to Win.
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76) Which of the following is NOT one of the reasons for declining union membership in the United
States?
A) The economy has shifted away from manufacturing.
B) The AFL CIO merger and creation of the Change to Win Federation reduced competition
among unions.
C) Some industries have been deregulated.
D) Labor force participation by women has increased.
77) Which of the following is one of the reasons for declining union membership in the United
States?
A) Much of the unskilled, nonunionized work in the United States is done by immigrant
workers who are undocumented.
B) The AFL CIO merger and creation of the Change to Win Federation reduced competition
among unions.
C) The repeal of the Taft Hartley Act.
D) Labor force participation by women has decreased.
78) The U.S. labor movement started
A) with local craft unions composed of workers who engaged in a particular trade or skill,
such as baking, carpentry or plumbing.
B) during the Civil War.
C) after World War I.
D) with the Knights of Labor, an organized group of both skilled and unskilled workers.
79) The U.S. labor movement started with
A) aerospace workers unions. B) industrial unions.
C) craft unions. D) depression unions.
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80) The American Federation of Labor was formed in 1886 as a dissident group from the
A) Knights of Labor. B) Knights of Pythias.
C) Masonic Lodge. D) Knights of Columbus.
81) The founder of the American Federation of Labor was
A)
J
ohn L. Lewis. B) Samuel Gompers.
C) Walter Reuther. D) Ralph Nader.
82) The other name for the National Labor Relations Act of 1935 is
A) the Wagner Act. B) the Taft Hartley Act.
C) the Clayton Act. D) the Wheeler Lea Act.
83) The Congress of Industrial Organizations (CIO) was formed in 1938 by
A)
J
ohn L. Lewis. B) Samuel Gompers.
C) Walter Reuther. D) Ralph Nader.
84) Which of the following laws made closed shops unlawful?
A) Taft Hartley Act B) National Industrial Recovery Act
C) National Labor Relations Act D) Railway Workers Act
85) Which of the following type of shops is unlawful under the provisions of the Taft Hartley Act?
A) union shops B) closed shops
C) modified union shops D) open shops
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86) Laws that outlaw union shops and which may be passed (or not) by individual states are called
A) Smoot Hawley laws. B) pro scab laws.
C) free rider laws. D) right to work laws.
87) The first type of labor unions that emerged in the United States were
A) industrial unions. B) craft unions.
C) professional unions. D) transportation unions.
88) If you get a job and are required to join the union within a month, this is known as a(n)
A) closed shop. B) open shop. C) agency shop. D) union shop.
89) If you get a job and are never required to join the union, this is known as a(n)
A) closed shop. B) open shop. C) agency shop. D) union shop.
90) If you want to become an actor, and you must join the Screen Actors Guild after your first job,
the Screen Actors Guild is a(n)
A) closed shop. B) open shop. C) agency shop. D) union shop.
91) The National Labor Relations Act (Wagner Act)
A) prohibited the creation of company unions.
B) guaranteed workers the right to organize.
C) set the minimum wage at $5.15 an hour.
D) set the length of the workweek at 40 hours.
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92) Which type of collective bargaining agreement requires workers to be union members prior to
being considered for employment?
A) right to work B) union shop C) open shop D) closed shop
93) A jurisdictional dispute means that
A) members of a union disagree on the outcome of union elections.
B) a higher court reversed the decision of a lower court in a case brought by a union.
C) a union leadership and membership cannot agree on an issue.
D) two unions disagree on which should represent workers in a particular industry.
94) A secondary boycott is
A) illegal according to the Taft Hartley Act.
B) a legal way to support striking workers.
C) illegal according to the Wagner Act.
D) legal according to the Sherman Act.
95) A labor union composed of workers in the same occupation is called
A) a craft union. B) an industrial union.
C) a company union. D) a closed shop.
96) Craft unions exert market control by
A) limiting the demand for labor. B) limiting the supply of labor.
C) setting minimum wages. D) setting maximum wages.

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