NFL Referee strike: When going on strike is good for the market.

Whoa whoa whoa now. Going on strike is good? Don't we hate unions especially when they go on strike? Aren't unions the antithesis of a free market?

Yes going on strike can be good. No we shouldn't hate unions. No unions aren't the antithesis of the free market, but a part of a healthy market.

How could I possibly be saying such things? It's pretty simple, people have the freedom to associate with whomever they want including co-workers. These group of individuals which create a union could very well say that they want to go on strike for higher wages, to keep past benefits, or whatever.

The past NFL Referee strike is a perfect example of a union strike that promotes a healthy market. At the end of the agreement it was a win win for everyone involved. And most importantly this relationship was resolved without the use of force from the government. This is how the market works and how voluntary interactions between the owners, the refs, and the consumers can resolve issues peacefully.

How does this all work though? How can this really be a good thing?

Well if we look at the causes of all union strikes it's typically for better pensions or higher wages. The market has its own way of dictating what wages should be, how this is done is not the intent of this post. If the union decides to go on strike no one should be able to stop them. On the other hand you should not be able to stop other workers from filling in the voids, just as the NFL hired replacement refs.

But the market responds in interesting ways when people's satisfactions aren't being met. The replacement refs just were not up to par and hence were not efficient in overseeing the game. The drop in quality was affecting the game and bringing a poorer product to consumers who in turn brought it to the attention of the commissioner that they were angry.

Purely through market forces and no threat of force from the government a resolution was made.

So yes unions and union strikes are healthy for a market because they can insure that quality products are given to consumers, like the NFL referee debacle. Unions don't need the government to help keep their jobs. Union heads who want to use government aren't doing it for the good of the workers. No they do it to justify their top positions and radically high pay which is taken from the union members. Government cannot help you it only distorts the market and helps the politically connected.

Let's look up to the NFL agreement to realize that humans can interact peacefully to settle disputes. Have faith in each other not in the State.