The Minimum Wage: Labor Market Consequences in the Czech Republic
AbstractThis paper aims to quantify the impact of the minimum wage on labor market performance in the Czech Republic. Using regional data for 1995–2004, it estimates the effect of the minimum wage adjusted for the regional wage differential on regional unemployment. Consequently, using detailed individual data from 2004/2005, the authors analyze the annual hikes in the minimum wage, which allow them to estimate employment probabilities for workers with a wage level at, or close to, the new minimum wage. The aim is to reveal whether the most endangered groups of workers exhibited significantly different subsequent employment probabilities. The autors´ results reveal that the minimum wage has had a significant impact in terms of increasing regional unemployment and reducing the employment probabilities of low-paid workers.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Charles University Prague, Faculty of Social Sciences in its journal Finance a uver - Czech Journal of Economics and Finance.
Volume (Year): 59 (2009)
Issue (Month): 3 (August)
minimum wage; employment probability; unemployment;
Find related papers by JEL classification:
- E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution
- J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy
- J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Mirco Tonin, 2007.
"Minimum Wage and Tax Evasion: Theory and Evidence,"
IEHAS Discussion Papers
0701, Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences.
- Tonin, Mirco, 2011. "Minimum Wage and Tax Evasion: Theory and Evidence," IZA Discussion Papers 5660, Institute for the Study of Labor (IZA).
- Mirco Tonin, 2009. "Minimumwage and tax evasion: theory and evidence," MNB Working Papers 2009/2, Magyar Nemzeti Bank (the central bank of Hungary).
- Mirco Tonin, 2007. "Minimum Wage and Tax Evasion: Theory and Evidence," William Davidson Institute Working Papers Series wp865, William Davidson Institute at the University of Michigan.
- James B. Rebitzer & Lowell J. Taylor, 1991.
"The Consequences of Minimum Wage Laws: Some New Theoretical Ideas,"
NBER Working Papers
3877, National Bureau of Economic Research, Inc.
- Rebitzer, James B. & Taylor, Lowell J., 1995. "The consequences of minimum wage laws Some new theoretical ideas," Journal of Public Economics, Elsevier, vol. 56(2), pages 245-255, February.
- Abowd, J.M. & Kramarz, F. & Margolis, D.N., 1998.
"Minimum Wages and Employment in France and the United States,"
Papiers du Laboratoire de MicroÃÂ©conomie AppliquÃÂ©e
1998-12, UniversitÃ© PanthÃ©on-Sorbonne (Paris 1).
- John M. Abowd & Francis Kramarz & David N. Margolis, 1999. "Minimum Wages and Employment in France and the United States," NBER Working Papers 6996, National Bureau of Economic Research, Inc.
- Abowd, John M & Kramarz, Francis & Margolis, David N, 1999. "Minimum Wages and Employment in France and the United States," CEPR Discussion Papers 2159, C.E.P.R. Discussion Papers.
- Brown, Charles & Gilroy, Curtis & Kohen, Andrew, 1982. "The Effect of the Minimum Wage on Employment and Unemployment," Journal of Economic Literature, American Economic Association, vol. 20(2), pages 487-528, June.
- John M. Abowd & Francis Kramarz & Thomas Lemieux & David N. Margolis, 2000.
"Minimum Wages and Youth Employment in France and the United States,"
in: Youth Employment and Joblessness in Advanced Countries, pages 427-472
National Bureau of Economic Research, Inc.
- John M. Abowd & Francis Kramarz & Thomas Lemieux & David N. Margolis, 1997. "Minimum Wages and Youth Employment in France and the United States," NBER Working Papers 6111, National Bureau of Economic Research, Inc.
- Charles Brown & Curtis Gilroy & Andrew Kohen, 1982. "The Effect of the Minimum Wage on Employment and Unemployment: A Survey," NBER Working Papers 0846, National Bureau of Economic Research, Inc.
- Acemoglu, Daron, 2001. "Good Jobs versus Bad Jobs," Journal of Labor Economics, University of Chicago Press, vol. 19(1), pages 1-21, January.
- Brown, Charles, 1999. "Minimum wages, employment, and the distribution of income," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 32, pages 2101-2163 Elsevier.
- Tor Eriksson & Mariola Pytlikova, 2004. "Firm-level Consequences of Large Minimum-wage Increases in the Czech and Slovak Republics," LABOUR, CEIS, vol. 18(1), pages 75-103, 03.
- Alan Manning, 1994.
"How do we Know that Real Wages are Too High?,"
CEP Discussion Papers
dp0195, Centre for Economic Performance, LSE.
- Andrea Bassanini & Romain Duval, 2006.
"Employment Patterns in OECD Countries: Reassessing the Role of Policies and Institutions,"
OECD Social, Employment and Migration Working Papers
35, OECD Publishing.
- Andrea Bassanini & Romain Duval, 2006. "Employment Patterns in OECD Countries: Reassessing the Role of Policies and Institutions," OECD Economics Department Working Papers 486, OECD Publishing.
- Kamila FialovÃ¡ & OndÅej Schneider, 2009.
"Labor Market Institutions and Their Effect on Labor Market Performance in the New EU Member Countries,"
Eastern European Economics,
M.E. Sharpe, Inc., vol. 47(3), pages 57-83, May.
- Kamila Fialová & Ondrej Schneider, 2008. "Labour Market Institutions and their Effect on Labour Market Performance in the New EU Member Countries," CESifo Working Paper Series 2421, CESifo Group Munich.
- Cahuc, Pierre & Michel, Philippe, 1996.
"Minimum wage unemployment and growth,"
European Economic Review,
Elsevier, vol. 40(7), pages 1463-1482, August.
- Cahuc, P. & Michel, P., 1992. "Minimum Wage, Unemployment and Growth," Papiers d'Economie MathÃÂ©matique et Applications 92.35, UniversitÃ© PanthÃ©on-Sorbonne (Paris 1).
- David Neumark & William Wascher, 1992. "Employment effects of minimum and subminimum wages: Panel data on state minimum wage laws," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 46(1), pages 55-81, October.
- Cubitt, Robin P & Heap, Shaun P Hargreaves, 1999. "Minimum Wage Legislation, Investment and Human Capital," Scottish Journal of Political Economy, Scottish Economic Society, vol. 46(2), pages 135-57, May.
- Kertesi, Gabor & Kollo, Janos, 2003.
"Fighting “Low Equilibria” by Doubling the Minimum Wage? Hungary’s Experiment,"
IZA Discussion Papers
970, Institute for the Study of Labor (IZA).
- Gábor Kertei & János Köll?, 2004. "Fighting “Low Equilibria” by Doubling the Minimum Wage ? Hungary’s Experiment," William Davidson Institute Working Papers Series 2004-644, William Davidson Institute at the University of Michigan.
- Kristensen, Nicolai & Cunningham, Wendy, 2006. "Do minimum wages in Latin America and the Caribbean matter ? Evidence from 19 countries," Policy Research Working Paper Series 3870, The World Bank.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Lenka Herrmannova).
If references are entirely missing, you can add them using this form.