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The Elusive Effects of Minimum Wages

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Author Info

  • Kennan, J.

Abstract

The main theme of David Card and Alan Krueger's book, "Myth and Measurement: The New Economics of the Minimum Wage", is that the data do not support the view that minimum wages reduce employment. The most important chapter considers data for the fast food industry, where it is suggested that recent minimum wage increases may actually have increased employment, contrary to the standard theorem that labor demand curves slope down. A more reasonable view of the evidence, in this book and in many other studies going back to 1915, is that the employment effects of minimum wages are small, and difficult to detect in the noisy data available.

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Bibliographic Info

Paper provided by Wisconsin Madison - Social Systems in its series Working papers with number 9512.

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Length: pages
Date of creation: 1995
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Handle: RePEc:att:wimass:9512

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Postal: UNIVERSITY OF WISCONSIN MADISON, SOCIAL SYSTEMS RESEARCH INSTITUTE(S.S.R.I.), MADISON WISCONSIN 53706 U.S.A.

For corrections or technical questions regarding this item, or to correct its listing, contact: (Ailsenne Sumwalt).

Related research

Keywords: WAGES; MANPOWER; LABOUR MARKET; EMPLOYMENT;

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Cited by:
  1. Kuddo, Arvo, 2009. "Labor laws in Eastern European and Central Asian countries : minimum norms and practices," Social Protection Discussion Papers 51698, The World Bank.
  2. Frank Walsh, 2000. "Monopsony Power with Variable Effort," Working Papers 200023, School Of Economics, University College Dublin.
  3. Dittrich, Marcus, 2007. "Minimum Wages and Union Bargaining in a Dual Labour Market," Dresden Discussion Paper Series in Economics 13/07, Dresden University of Technology, Faculty of Business and Economics, Department of Economics.
  4. Oren M. Levin-Waldman, 1996. "Exploring the Politics of the Minimum Wage," Economics Working Paper Archive wp_176, Levy Economics Institute, The.
  5. Madeline Zavodny, 1998. "Why minimum wage hikes may not reduce employment," Economic Review, Federal Reserve Bank of Atlanta, issue Q 2, pages 18-28.
  6. Pierre Cahuc & Cette Gilbert & André Zylberberg, 2008. "Salaire minimum et bas revenus," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00638149, HAL.
  7. Oren M. Levin-Waldman, . "Automatic Adjustment of the Minimum Wage, Linking the Minimum Wage to Productivity," Economics Public Policy Brief Archive ppb_42, Levy Economics Institute, The.
  8. Oren M. Levin-Waldman, . "Do Institutions Affect the Wage Structure? Right-to-Work Laws, Unionization, and the Minimum Wage," Economics Public Policy Brief Archive ppb_57, Levy Economics Institute, The.
  9. Oren M. Levin-Waldman, 1997. "Linking the Minimum Wage to Productivity," Economics Working Paper Archive wp_219, Levy Economics Institute, The.
  10. Oren M. Levin-Waldman, 1999. "The Minimum Wage and Regional Wage Structure: Implications for Income Distribution," Economics Working Paper Archive wp_267, Levy Economics Institute, The.
  11. Marcus Dittrich, 2010. "Minimum Wages and Unemployment Benefits in a Unionized Economy: A Game-Theoretic Approach," Annals of Economics and Finance, Society for AEF, vol. 11(2), pages 209-229, November.
  12. Laura Bucila, 2008. "Employment-Based Health Insurance and the Minimum Wage," Working Papers 0812, College of the Holy Cross, Department of Economics.

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