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Estimating the Effect of Minimum Wages on Employment from the Distribution of Wages: A Critical View Author info | Abstract | Publisher info | Download info | Related research | Statistics Richard Dickens
Stephen Machin
Alan Manning
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In two papers, Meyer and Wise (1983a,b) present an ingenious method for estimating the effect of minimum wage rates on wages and employment using data based only on the observed cross-sectional distribution of wages. They, and others who have used this method, have generally found that the minimum wage causes substantial losses in employment. In this paper we evaluate the robustness of this technique. We argue that the estimates, at least for the UK, are very sensitive to the functional form assumed for the distribution of wages and to the assumption made about how far up the wage distribution the minimum wage has spillover effects.
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Date of creation: Aug 1994Date of revision:
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References listed on IDEAS 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.: Brown, Charles & Gilroy, Curtis & Kohen, Andrew, 1982.
"The Effect of the Minimum Wage on Employment and Unemployment ,"
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[Downloadable!] (restricted)
Kaufman, Roger T, 1989.
"The Effects of Statutory Minimum Rates of Pay on Employment in Great Britain ,"
Economic Journal ,
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David Card & Alan Krueger, 1993.
"Minimum Wages and Employment: A Case Study of the Fast Food Industry in New Jersey and Pennsylvania ,"
Working Papers
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Other versions:
David Card & Alan B. Krueger, 1993.
"Minimum Wages and Employment: A Case Study of the Fast Food Industry in New Jersey and Pennsylvania ,"
NBER Working Papers
4509, National Bureau of Economic Research, Inc.
[Downloadable!] (restricted) Card, David & Krueger, Alan B, 1994.
"Minimum Wages and Employment: A Case Study of the Fast-Food Industry in New Jersey and Pennsylvania ,"
American Economic Review ,
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[Downloadable!] (restricted) Lawrence Katz & Alan Krueger, 1992.
"The Effect of the Minimum Wage on the Fast Food Industry ,"
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Other versions:
Katz, L.F. & Krueger, A.B., 1992.
"The Effect of the Minimum Wage on the Fast Food Industry ,"
Harvard Institute of Economic Research Working Papers
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Industrial and Labor Relations Review ,
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Singh, S K & Maddala, G S, 1976.
"A Function for Size Distribution of Incomes ,"
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repec:fth:prinin:298 is not listed on IDEAS
McDonald, James B, 1984.
"Some Generalized Functions for the Size Distribution of Income ,"
Econometrica ,
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Natalya Y. Shelkova, 2008.
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Working papers
2008-33, University of Connecticut, Department of Economics, revised Dec 2008.
[Downloadable!]
Other versions: Guy Laroque & Bernard Salanie, 2002.
"Labour market institutions and employment in France ,"
Journal of Applied Econometrics ,
John Wiley & Sons, Ltd., vol. 17(1), pages 25-48.
[Downloadable!]
Cavaco, Sandra & Lesueur, Jean-Yves & Sabatier, Mareva, 2003.
"Stratégies De Recherche, Contraintes Spatiales Et Hétérogénéité Des Transitions Vers L’Emploi : Estimation Économétrique D’Un Modèle Structurel De Recherche [Job search strategies, spa ,"
MPRA Paper
10499, University Library of Munich, Germany.
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Koning, Pierre & Berg, Gerard J. van den & Ridder, Geert, 1998.
"Semi-nonparametric estimation of an equilibrium search model ,"
Serie Research Memoranda
0003, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
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Pierre Koning & Gerard J. van den Berg & Geert Ridder, 1998.
"Semi-Nonparametric Estimation of an Equilibrium Search Model ,"
Tinbergen Institute Discussion Papers
98-020/3, Tinbergen Institute.
Pierre Konig & Gerard J van der Berg & Geert Ridder, 2000.
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Economics Working Paper Archive
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Koning, Pierre & van den Berg, Gerard J & Ridder, Geert, 2000.
" Semi-nonparametric Estimation of an Equilibrium Search Model ,"
Oxford Bulletin of Economics and Statistics ,
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[Downloadable!] (restricted) Sara Lemos, 2007.
"A Survey of the Effects of the Minimum Wage in Latin America ,"
Discussion Papers in Economics
07/04, Department of Economics, University of Leicester.
[Downloadable!]
Sara Lemos, 2004.
"The Effects Of The Minimum Wage On Wages And Employment In Brazil - A Menu Of Minimum Wage Variables ,"
Labor and Demography
0403008, EconWPA.
[Downloadable!]
Christian Ragacs, 2003.
"Mindestlöhne und Beschäftigung: Ein Überblick über die neuere empirische Literatur ,"
Working Papers
geewp25, Vienna University of Economics and B.A. Research Group: Growth and Employment in Europe: Sustainability and Competitiveness.
[Downloadable!]
Pedro Portugal & Ana Rute Cardoso, 2001.
"Disentangling the minimum wage puzzle: an analysis of job accessions and separations from a longitudinal matched employer- employee data set ,"
Working Papers
9, Núcleo de Investigação em Microeconomia Aplicada (NIMA), Universidade do Minho.
[Downloadable!]
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