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When Do Living Wages Bite?

  • Scott Adams
  • David Neumark

Many features of living wage laws may influence the strength of their effects on the wages and employment of low-skill workers. Echoing past research, we find that business assistance living wage laws generate stronger wage increases and employment reductions than do contractor-only laws. However, broader enforcement or implementation as well as the geographic concentration of living wage laws also appear to strengthen their effects. Finally, geographic concentration may be more significant than the distinction between business assistance and contractor-only living wage laws.

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Paper provided by Public Policy Institute of California in its series PPIC Working Papers with number 2004.09.

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Length: 38 pages
Date of creation: Jun 2004
Date of revision:
Handle: RePEc:ppi:ppicwp:2004.09
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  1. Marianne Bertrand & Esther Duflo & Sendhil Mullainathan, 2004. "How Much Should We Trust Differences-in-Differences Estimates?," The Quarterly Journal of Economics, MIT Press, vol. 119(1), pages 249-275, February.
  2. David Neumark & Scott Adams, 2003. "Do Living Wage Ordinances Reduce Urban Poverty?," Journal of Human Resources, University of Wisconsin Press, vol. 38(3).
  3. Scott Adams & David Neumark, 2003. "Living Wage Effects: New and Improved Evidence," NBER Working Papers 9702, National Bureau of Economic Research, Inc.
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