The Effect of Recent Increases in the U.S. Minimum Wage: Results from Three Data Sources
AbstractThis paper investigates the impact on earnings and employment of substantive increases in the minimum wage under the Fair Minimum Wage Act of 2007. Against the backdrop of a thin contemporary literature offering mixed results, our study uses three different data sets, and three different estimation strategies for addressing geographically-disparate trends. Despite the concatenation of seemingly large wage increases and a soft labor market, our evidence is generally unsupportive of material disemployment effects among industrial and demographic groups typically associated with low-wage employment. Our results are consistent with minimum wage workers being concentrated in sectors of the economy for which the labor-demand response to wage increases is seemingly modest.
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 InfoPaper provided by The Rimini Centre for Economic Analysis in its series Working Paper Series with number 58_12.
Date of creation: Jul 2012
Date of revision:
minimum wages; disemployment; earnings; low-wage sectors; geographically-disparate employment trends; recession;
Find related papers by JEL classification:
- J2 - Labor and Demographic Economics - - Demand and Supply of Labor
- J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
- J4 - Labor and Demographic Economics - - Particular Labor Markets
- J8 - Labor and Demographic Economics - - Labor Standards
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-08-23 (All new papers)
- NEP-LAB-2012-08-23 (Labour Economics)
- NEP-LMA-2012-08-23 (Labor Markets - Supply, Demand, & Wages)
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.:
- David Neumark & William L. Wascher, 2008. "Minimum Wages," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262141027, January.
- Dube, Andrajit & Lester, T. William & Reich, Michael, 2010.
"Minimum Wage Effects Across State Borders: Estimates Using Contiguous Counties,"
Institute for Research on Labor and Employment, Working Paper Series
qt86w5m90m, Institute of Industrial Relations, UC Berkeley.
- Arindrajit Dube & T. William Lester & Michael Reich, 2010. "Minimum Wage Effects Across State Borders: Estimates Using Contiguous Counties," The Review of Economics and Statistics, MIT Press, vol. 92(4), pages 945-964, November.
- Saul D. Hoffman & Chenglong Ke, 2010. "Employment Effects of the 2009 Minimum Wage Increase: Evidence from State Comparisons of At-Risk Workers," Working Papers 10-07, University of Delaware, Department of Economics.
- Stephen Bazen & Julie Le Gallo, 2009.
"The Differential Impact Of Federal And State Minimum Wages On Teenage Employment,"
- Stephen Bazen & Julie Le Gallo, 2009. "The Differential Impact Of Federal And State Minimum Wages On Teenage Employment," Working Papers halshs-00382509, HAL.
- Saul D. Hoffman & Chenglong Ke, 2011. "Employment Effects of the 2009 Minimum Wage Increase: Evidence from State Comparisons of At-Risk Workers (Revised Version)," Working Papers 11-16, University of Delaware, Department of Economics.
- Addison, John T. & Blackburn, McKinley L. & Cotti, Chad D., 2009. "Do minimum wages raise employment? Evidence from the U.S. retail-trade sector," Labour Economics, Elsevier, vol. 16(4), pages 397-408, August.
- Addison, John T. & Blackburn, McKinley L., 1998.
"Minimum Wages and Poverty,"
ZEW Discussion Papers
98-42, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Roberto Patuelli).
If references are entirely missing, you can add them using this form.