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What] Another Minimum Wage Study?


  • Eccles, Mary
  • Freeman, Richard B


The Minimum Wage Study Commission was established in 1977 to aid Congress in investigating the effects and possible consequences of two proposed changes in the minimum wage law: indexing the wage to inflation and providing for a youth differential. This paper seeks to determine to what extent the Minimum Wage Study Commission's work has been helpful in policy debate, and compares the Commission's findings with those of the more conservative American Enterprise Institute. The paper also examines whether the Commission's final product was worth three years of study and $17 million. Our overall finding is that the Commission's report appears to have had little or no policy impact. The research did little to expand upon similar studies done prior to 1977, and cannot be said to be worth three years and $17 million. However, policy-makers still regard the report as a useful and credible examination of the effects of the mini- mum wage on the economy.
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Suggested Citation

  • Eccles, Mary & Freeman, Richard B, 1982. "What] Another Minimum Wage Study?," American Economic Review, American Economic Association, vol. 72(2), pages 226-232, May.
  • Handle: RePEc:aea:aecrev:v:72:y:1982:i:2:p:226-32

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    References listed on IDEAS

    1. Barro, Robert J, 1978. "Unanticipated Money, Output, and the Price Level in the United States," Journal of Political Economy, University of Chicago Press, vol. 86(4), pages 549-580, August.
    2. Lucas, Robert E, Jr, 1973. "Some International Evidence on Output-Inflation Tradeoffs," American Economic Review, American Economic Association, vol. 63(3), pages 326-334, June.
    3. J. R. Norsworthy & Michael J. Harper & Kent Kunze, 1979. "The Slowdown in Productivity Growth: Analysis of Some Contributing factors," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 10(2), pages 387-422.
    4. James Tobin, 1980. "Stabilization Policy Ten Years After," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 11(1, Tenth ), pages 19-90.
    5. Michael R. Darby & Alan C. Stockman, 1980. "The Mark III International Transmission Model," NBER Working Papers 0462, National Bureau of Economic Research, Inc.
    6. Robert H. Rasche & John A. Tatom, 1977. "Energy resources and potential GNP," Review, Federal Reserve Bank of St. Louis, issue Jun, pages 10-24.
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    Cited by:

    1. Knabe Andreas & Schöb Ronnie & Thum Marcel, 2014. "Der flächendeckende Mindestlohn," Perspektiven der Wirtschaftspolitik, De Gruyter, vol. 15(2), pages 133-157, June.
    2. repec:eee:labchp:v:3:y:1999:i:pb:p:2101-2163 is not listed on IDEAS
    3. William McEachern, 1987. "Federal advisory commissions in an economic model of representative democracy," Public Choice, Springer, vol. 54(1), pages 41-62, January.

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