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Employment effects of minimum wages disregards those most affected: Comment on the position of König and Möller

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  • Volker Meier
  • Sonja Munz

Abstract

The contribution by Marion König and Joachim Möller of the Institute for Labour Market and Occupational Research in Nuremberg on the employment effects of minimum wages uses the high-quality, random sample data of employees subject to social insurance contributions. Their approach consists in comparing the likelihood of those directly affected by a minimum wage of retaining their jobs with the likelihood of employees earning somewhat higher wages of retaining their jobs. Köning and Möller are neither able to identify a uniform loss of employment over all occupational groups caused by minimum wages nor the job losses of those mostly affected, the posted workers and those on contracts for works and services. The former is because of the methodology they employ; the latter is not possible because of the data base they use.

Suggested Citation

  • Volker Meier & Sonja Munz, 2008. "Employment effects of minimum wages disregards those most affected: Comment on the position of König and Möller," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 61(15), pages 30-32, August.
    • Handle: RePEc:ces:ifosdt:v:61:y:2008:i:15:p:30-32
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    References listed on IDEAS

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    1. Bernd Fitzenberger, 2008. "Anmerkungen zur Mindestlohndebatte: Elastizitäten, Strukturparameter und Topfschlagen," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 61(11), pages 21-27, June.
    2. Volker Rußig & Andreas Spillner, 1995. "Bauarbeitsmarkt : ausgewählte Probleme und längerfristige Perspektiven ; Anmerkungen zum Arbeitnehmer-Entsendegesetz und Status-quo-Prognosen der Beschäftigung im Bauhauptgewerbe bis 2004," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 48(30), pages 03-14, October.
    3. Rotte, Ralph & Zimmermann, Klaus F., 1998. "Das Entsendegesetz: Suendenfall oder Loesung des Arbeitslosigkeitsproblems?," IZA Discussion Papers 8, Institute of Labor Economics (IZA).
    4. Volker Rußig, 1996. "Bauwirtschaft in Deutschland : beschleunigter Strukturwandel," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 49(25-26), pages 14-29, October.
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    Cited by:

    1. Bernd Fitzenberger & Annabelle Doerr, 2016. "Konzeptionelle Lehren aus der ersten Evaluationsrunde der Branchenmindestlöhne in Deutschland [Conceptual lessons from the evaluation studies on sectoral minimum wages in Germany]," Journal for Labour Market Research, Springer;Institute for Employment Research/ Institut für Arbeitsmarkt- und Berufsforschung (IAB), vol. 49(4), pages 329-347, December.

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    More about this item

    JEL classification:

    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General

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