In a survey released this morning by Scioto Analysis, 13 of 22 economists agreed that a “right-to-work” law would increase inequality in the state. Economists who agreed pointed out that right-to-work laws would likely decrease union membership and therefore lower union bargaining power. In theory, this would lead to lower wages for union members, and higher profits for their employers.
On questions of economic growth and employment, economists were evenly split about the impacts of right-to-work laws. In comments, some economists said making union membership non-mandatory could increase employment in some sectors. Others stated this effect might be counteracted by lower wages and slower economic growth.
One economist points out that states with right-to-work laws don’t experience different economic growth compared to other states, meaning employment effects could be offset by other economic effects. Another mentions that the academic literature on the subject fails to reach a consensus about impacts.
The Ohio Economic Experts Panel is a panel of over 40 Ohio Economists from over 30 Ohio higher educational institutions conducted by Scioto Analysis. The goal of the Ohio Economic Experts Panel is to promote better policy outcomes by providing policymakers, policy influencers, and the public with the informed opinions of Ohio’s leading economists.