The Truth About American History: An Austro-Jeffersonian Perspective

Home | Mises Library | 8. Major Episodes in American Labor History: An Austrian Reevaluation, Part II

8. Major Episodes in American Labor History: An Austrian Reevaluation, Part II

  • The Truth About American History
0 Views

Tags U.S. HistoryMonopoly and Competition

06/24/2005Thomas E. Woods, Jr.

Up until the 1930s there was freedom of contract between workers and employers by which they could make, accept, or reject any offers of remuneration. With the 1930s comes the idea of exclusive bargaining agents decided upon by a majority of workers, and compulsory to all.

It becomes hard to impose injunctions to stop union violence. Massive strikes, dominated by complete strangers, are permitted in this legal order. Morgan Reynolds listed seven distinct ways in which unions imposed costs upon the economy.

In an unhampered market workers will tend to do better over time. That is because of business investment in capital goods. This increases the productivity of labor. Lower prices and higher quality result in an increasing standard of living without any coercion or government intervention.

Lecture 8 of 10 from Thomas Woods' The Truth About American History: An Austro-Jeffersonian Perspective.

Author:

Contact Thomas E. Woods, Jr.

Tom Woods, a senior fellow of the Mises Institute, is the author of a dozen books, most recently Real Dissent: A Libertarian Sets Fire to the Index Card of Allowable Opinion. Tom's articles have appeared in dozens of popular and scholarly periodicals, and his books have been translated into a dozen languages. Tom hosts the Tom Woods Show, a libertarian podcast that releases a new episode every weekday. With Bob Murphy, he co-hosts Contra Krugman, a weekly podcast that refutes Paul Krugman's New York Times column.

Shield icon audio