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Give three reasons why a government might seek to limit the power of a union.

Short Answer

Expert verified

If government imposes some restrictions on trade unions, then self-interest behavior of trade unions can be controlled accordingly.

Step by step solution

01

Step -1  Introduction

There is a three reasons listed below, the government may try to weaken unions.

Trade unions with too much influence can cause the labor market to fail.

Trade unions may impose their judgments on employers, perhaps leading to market failure.

As a result, the government strives to curb trade union authority.

02

Step -2   Explanation

A union may engage in illegal practices on occasion.

As a result, government restrictions are essential to limit trade union influence in order to prevent illegal practices.

Trade unions frequently work for the benefit of their members.

Trade union self-interest behavior can be curbed if the government imposes some constraints on them.

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