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Spillover Effect of the Minimum Wage in France: An Unconditional Quantile Regression Approach

Author

Listed:
  • R. AEBERHARDT

    (Dares-Crest)

  • P. GIVORD

    (Insee)

  • C. MARBOT

    (Insee)

Abstract

This study evaluates the impact of the minimum wage on the earnings distribution in France, using an unconditional quantile regression method proposed by Firpo, Fortin, and Lemieux (2009). To address the endogeneity issue due to the specific French revaluation process of the minimum wage, we use a natural experiment. As several minimum wage levels coexisted because of different schedules in the French 35-hour week" application, they were forced to converge to one single level between 2003 and 2005. We find significant effects of the minimum wage on the earnings distribution of male and female employees up to the seventh decile.

Suggested Citation

  • R. Aeberhardt & P. Givord & C. Marbot, 2012. "Spillover Effect of the Minimum Wage in France: An Unconditional Quantile Regression Approach," Documents de Travail de l'Insee - INSEE Working Papers g2012-07, Institut National de la Statistique et des Etudes Economiques.
    • Handle: RePEc:nse:doctra:g2012-07
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    File URL: https://www.bnsp.insee.fr/ark:/12148/bc6p06zr4hz/f1.pdf
    File Function: Document de travail de la DESE numéro G2012-07
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    More about this item

    Keywords

    Minimum wage; earnings distribution; unconditional quantile regressions;
    All these keywords.

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy
    • C18 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Methodolical Issues: General

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