IDEAS home Printed from
   My bibliography  Save this article

Mindestlohn in Deutschland notwendig : kein Gegensatz zwischen sozialer Gerechtigkeit und Beschäftigung (Minimum wage feasible in Germany : no conflict between fairness and employment)


  • Bosch, Gerhard


"Low-wage employment has increased considerably in Germany in recent years due to the erosion of the collective bargaining system. At the same time the structure of the low-wage sector has changed. It has moved to the periphery of the labour market and career development prospects have decreased. Compared with countries that have minimum wages, the downward wage differentiation is very large. This can be corrected by means of a minimum wage without employment losses. Economic theory sees scope for minimum wages by means of productivity increases or when the firms have buyer power (monopsony, oligopsony). The empirical studies on minimum wages show that the employment of adults is not impaired and that there are slight risks in the case of young people. By introducing a minimum wage gradually, as was done in Great Britain, and with parallel evaluation, it is possible to reduce the risks in Germany too. As regards minimum wages it is not only a matter of 'whether or not' but also a matter of 'how'. Minimum wages are a necessary corrective on labour markets with an unequal distribution of power such as those which have developed in Germany." (Author's abstract, IAB-Doku) ((en))

Suggested Citation

  • Bosch, Gerhard, 2007. "Mindestlohn in Deutschland notwendig : kein Gegensatz zwischen sozialer Gerechtigkeit und Beschäftigung (Minimum wage feasible in Germany : no conflict between fairness and employment)," Zeitschrift für ArbeitsmarktForschung - Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 40(4), pages 421-430.
  • Handle: RePEc:iab:iabzaf:v:2007:i:4:p:421-430

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. Cahuc, Pierre & Michel, Philippe, 1996. "Minimum wage unemployment and growth," European Economic Review, Elsevier, vol. 40(7), pages 1463-1482, August.
    2. Joachim Ragnitz & Marcel Thum, 2007. "The empirical relevance of minimum wages for the low-wage sector," CESifo Forum, Ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 8(2), pages 35-37, July.
    3. Finn, Dan, 2005. "The national minimum wage in the United Kingdom," Graue Reihe des Instituts Arbeit und Technik 2005-01, Institut Arbeit und Technik (IAT), Westfälische Hochschule, University of Applied Sciences.
    4. Acemoglu, Daron & Pischke, Jorn-Steffen, 1999. "Beyond Becker: Training in Imperfect Labour Markets," Economic Journal, Royal Economic Society, vol. 109(453), pages 112-142, February.
    5. Christopher L. ERICKSON & Daniel J.B. MITCHELL, 2007. "Monopsony as a metaphor for the emerging post-union labour market," International Labour Review, International Labour Organization, vol. 146(3-4), pages 163-187, September.
    6. Paul A. Samuelson, 2004. "Where Ricardo and Mill Rebut and Confirm Arguments of Mainstream Economists Supporting Globalization," Journal of Economic Perspectives, American Economic Association, vol. 18(3), pages 135-146, Summer.
    Full references (including those not matched with items on IDEAS)


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:iab:iabzaf:v:2007:i:4:p:421-430. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (IAB, Geschäftsbereich Dokumentation und Bibliothek). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.