Economics 2281 · O Level · Trade unions

Trade unions — practice question

From 2011 to 2012, the number of workers employed in Egypt’s public sector rose sharply. Egyptian trade unions that speak for public-sector labour welcomed the rise. However, stronger trade unions could create inflation, which might then lead to unemployment.
(a)[2]

Define what is meant by ‘labour’.

(b)[4]

Explain why an increase in employment would be advantageous for trade unions.

(c)[6]

Analyse how action by trade unions could lead to inflation.

(d)[8]

Discuss whether inflation could result in unemployment.

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