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If the demand for Plumbing increases or decreases, you will still deal with the same craft union. You have no choice. More or fewer people may decide to have new sinks installed, they will still deal with the same plumbers union. If you wish to purchase a car, you can choose between one built in the United States, France, Germany, Italy, or Japan. If the Italian union demands a whole lot more money, then it will make their cars far more expensive than the others. People will be attracted to the less expensive cars of the same quality. They have the choice of cars made by different unions.

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Q: It has often been said that craft union possess considerable greater power to raise wages than do industrial union How would explain this phenomenon in terms of demand elasticity?
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