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Begrenzte Reichweite: Die meisten Aufstocker bleiben trotz Mindestlohn bedürftig (Most working poor remain dependent on welfare benefits despite the minimum wage)

Author

Listed:
  • Bruckmeier, Kerstin

    (Institute for Employment Research (IAB), Nuremberg, Germany)

  • Wiemers, Jürgen

    (Institute for Employment Research (IAB), Nuremberg, Germany)

Abstract

"We analyse the effects of the introduction of a general minimum wage of 8.50 Euro in Germany on the number of working welfare recipients, fiscal outcomes, income distribution and labour supply using microsimulation. Our results show that only a small number of working welfare recipients would exit social assistance even under the assumption that there are no negative effects on employment. Given constant employment in the short run, welfare expenditure decrease by 500 million to 650 million Euro per year. Income gains for working welfare recipients are small due to high marginal rates of benefit reduction." (Author's abstract, IAB-Doku) ((en))

Suggested Citation

  • Bruckmeier, Kerstin & Wiemers, Jürgen, 2014. "Begrenzte Reichweite: Die meisten Aufstocker bleiben trotz Mindestlohn bedürftig (Most working poor remain dependent on welfare benefits despite the minimum wage)," IAB-Kurzbericht 201407, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    • Handle: RePEc:iab:iabkbe:201407
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    References listed on IDEAS

    as
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    3. Jürgen Kromphardt & Dominik Groll & Stefan Kooths, 2014. "Mindestlohn: Warnung vor massiven Arbeitsplatzverlusten wenig fundiert — eine Replik," Wirtschaftsdienst, Springer;ZBW - Leibniz Information Centre for Economics, vol. 94(1), pages 41-49, January.
    4. Arntz, Melanie & Clauss, Markus & Kraus, Margit & Schnabel, Reinhold & Spermann, Alexander & Wiemers, Jürgen, 2007. "Arbeitsangebotseffekte und Verteilungswirkungen der Hartz-IV-Reform," IAB-Forschungsbericht 200710, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    5. Kerstin Bruckmeier & Jürgen Wiemers, 2012. "A new targeting: a new take-up?," Empirical Economics, Springer, vol. 43(2), pages 565-580, October.
    6. Mueller, Kai-Uwe & Steiner, Viktor, 2013. "Behavioral effects of a federal minimum wage and income inequality in Germany," VfS Annual Conference 2013 (Duesseldorf): Competition Policy and Regulation in a Global Economic Order 79784, Verein für Socialpolitik / German Economic Association.
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