Political Party Strength, Unionization Rates, and Economic Growth in the United Sates

Amber Madden, Illinois State University


Economists and political scientists have studied the behavior of the competing interests of the business and labor classes within the framework of the political economy extensively. While both the business class and the labor class value the macroeconomic policy of sustained growth, the mechanisms of its attainment vary greatly and, in fact, contradict one another. While business hopes to achieve growth through low costs and high profit margins, labor interests aim to maintain full employment while sustaining increasing wages.