The decline in unions from their peak in the late 1950s until today has correlated with a significant rise in the wealth and power of the United States.
The decline of unions has been an important reason for the increase in success in business in the United States, especially in contrast to Europe
These factors are certainly connected but the direct connection is hard to establish. We can look at an automobile company and see that the union conditions result in low or minimum output. Just watch the lackadaisical assembly line. You can look at the San Francisco municipal buses and see that the various work rules introduced by the union guarantee a dysfunctional system.
There is one unique problem with unions. They are hostile to meritocracy. They prohibit meritocracy in the union environment. Unions only believe in rewarding zombie behavior. There are two elements of the zombie behavior that are rewarded: first is seniority. The newest person gets the least reward and is often mistreated; the longest-serving person gets the most reward regardless of competence or productivity. Output, competence, ingenuity and anything else to do with merit are ignored or suppressed.
The second part of the zombie equation is a focus on retirement benefits. This makes sure that a zombie lifestyle is fostered. Union workers are discouraged from seeking any immediate pleasures by hard work or ambition. They are encouraged to postponed rewards until the individuals are too old to enjoy pleasures. Unions promote a life of zombie values. This is precisely the opposite of what commerce is about. Commerce is about excitement, vitality and fun.
The zombie behavior and an absence of meritocracy are entirely appropriate for government. Therefore, today, unions are only functional in government environments.
Corruption is also an element of government. It is only because governments have significant power, arbitrary power, that corruption is possible.
It is important that government has exactly the right amount of corruption. Not too little not too much.
In the United States, local government is corrupt only for the construction industry and for large chain store operators. That means that knowledgeable businesses who understand corruption are able to operate with a great deal of freedom. But the corruption is not so blatant and visible that people feel discouraged by being outside of the corruption circle.
At State and Federal levels the corruption is more visible but doesn’t discourage local businesses.
In San Francisco there are several businesses that are very effective at corruption: Starbucks and Walgreens. They have many retail stores. Trader Joe's and Peet’s Coffee are ineffective in dealing with corruption and they have to go to other areas, such as shopping malls to thrive.
Overall by having corruption invisible or difficult for the public to understand it is a nearly idyllic situation for business because: it does not discourage the naïve but it does allow for success among the skillful.