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In US, the natural rate of unemployment rose while union membership kept falling from 1950 to...

In US, the natural rate of unemployment rose while union membership kept falling from 1950 to 1980. Thus it seems that unions’ bargaining power is not the only cause of structural unemployment.

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True. Union's bargaining power is not the only cause of structural unemployment. Structural unemployment occurs when demand for labour is less than the supply of labour in labour market.lts result of mismatch between the skills and job opportunities when pattern of demand for labour undergoes a change. Apart from Union's bargaining power , issues like declining of manufacturing sector, occupational immobility, geographical immobility,and foreign dependence can cause structural unemployment. Even the advent of machines , especially robots have caused many job losses.


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