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Efeitos do Salário Mínimo Sobre o Mercado de Trabalho Brasileiro

  • Gabriel Ulyssea
  • Miguel N. Foguel

The objective of this study is to offer a survey of the empirical literature thatinvestigates the impacts of the minimum wage on the Brazilian labor market. Weemphasize the more recent studies and, in this sense, this survey is an extension andupdate of previous surveys. Our analysis focuses on two major issues: the minimumwage impacts on the wage distribution; and its impacts on distinct employmentmeasures. From the analysis of the papers here included, it is possible to reach someconclusions: a) there is a consensus that the minimum wage reduces the wageinequality of workers that remain employed; b) though small in magnitude, thereseems to be a negative effect of the minimum wage on the aggregate employmentlevel; c) this negative impact seems to be stronger in the informal sector, though stillsmall; and d) preliminary evidence indicates the minimum wage may have animportant effect on the transition probability from the formal to the informal sector,and to a lesser extent to unemployment and inactivity.

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Paper provided by Instituto de Pesquisa Econômica Aplicada - IPEA in its series Discussion Papers with number 1168.

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Length: 21 pages
Date of creation: Feb 2006
Date of revision:
Handle: RePEc:ipe:ipetds:1168
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  1. Lemos, Sara, 2004. "The Effect of the Minimum Wage on Prices in Brazil," IZA Discussion Papers 1071, Institute for the Study of Labor (IZA).
  2. Pablo Fajnzylber, 2001. "Minimum wage effects throughout the wage distribution: evidence from Brazil’s formal and informal sectors," Textos para Discussão Cedeplar-UFMG td151, Cedeplar, Universidade Federal de Minas Gerais.
  3. Francisco Carneiro & Andrew Henley, 1998. "Wage determination in Brazil: The growth of union bargaining power and informal employment," Journal of Development Studies, Taylor & Francis Journals, vol. 34(4), pages 117-138.
  4. Sara Lemos, 2006. "Anticipated effects of the minimum wage on prices," Applied Economics, Taylor & Francis Journals, vol. 38(3), pages 325-337.
  5. Lemos, Sara, 2004. "The Effect of the Minimum Wage on Prices," IZA Discussion Papers 1072, Institute for the Study of Labor (IZA).
  6. Lemos, Sara, 2004. "The Effects of the Minimum Wage on Wages, Employment and Prices," IZA Discussion Papers 1135, Institute for the Study of Labor (IZA).
  7. Pablo Fajnzylber, 2001. "Minimum Wage Effects Throughout the Wage Distribution: Evidence from Brazil's Formal and Informal Sectors," Anais do XXIX Encontro Nacional de Economia [Proceedings of the 29th Brazilian Economics Meeting] 098, ANPEC - Associação Nacional dos Centros de Pósgraduação em Economia [Brazilian Association of Graduate Programs in Economics].
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