Spill-over effect
This is the current revision of Spill-over effect as edited by DavidB4-bot (talk | contribs) at 19:36, July 13, 2016. This URL is a permanent link to this version of this page.
The spill-over effect is how increase union wages can cause a decrease in non-union wages. This can occur because employers will reduce the number of higher-paying union jobs, causing those who lose their jobs to flood the labor market for non-union jobs. This increase in non-union laborers then drives down the wages for non-union jobs.