This paper presents estimates of the effects of unions on the wages of young black and white males who are both union and nonunion workers. It also presents estimates of union effects on employment for these groups, as well as their union membership rates. While unions have a very substantial,...

This paper develops a model of social interactions and endogenous poverty traps. The key idea is captured in a framework in which the likelihood of future social interactions with members of one%u2019s group is partly determined by group-specific investments made by individuals. I prove three...