scholarly journals Minimum Wages and the Distribution of Family Incomes

2019 ◽  
Vol 11 (4) ◽  
pp. 268-304 ◽  
Author(s):  
Arindrajit Dube
Keyword(s):  
Minimum Wage ◽  
Family Income ◽  
Public Assistance ◽  
Poverty Rate ◽  
Minimum Wages ◽  
Tax Credits ◽  
Wage Elasticity ◽  
Long Run ◽  
Elderly Poverty ◽  
Robust Evidence

There is robust evidence that higher minimum wages increase family incomes at the bottom of the distribution. The long-run (3 or more years) minimum wage elasticity of the non-elderly poverty rate with respect to the minimum wage ranges between −0.220 and −0.459 across alternative specifications. The long-run minimum wage elasticities for the tenth and fifteenth unconditional quantiles of family income range between 0.152 and 0.430 depending on specification. A reduction in public assistance partly offsets these income gains, which are on average 66 percent as large when using an expanded income definition including tax credits and noncash transfers. (JEL D31, I32, I38, J31, J38)

The effect of minimum wages on consumption in Canada

2020 ◽  
pp. 103530462094995
Author(s):  
Young Cheol Jung ◽  
Adian McFarlane ◽  
Anupam Das
Keyword(s):  
Minimum Wage ◽  
Adult Population ◽  
Retail Trade ◽  
Minimum Wages ◽  
The Real ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Long Run ◽  
Lag Model ◽  
Wage Increases

We use Canadian data over the period of 1991Q1 to 2019Q2 to examine the effect of higher minimum wages on consumption, measured as the real retail trade sales per adult population. Such an examination is rare in the extant literature and it is timely given the increasing debate concerning the stimulus versus inflationary effects arising from wage polices because of COVID-19 global pandemic. We apply the autoregressive distributed lag model to determine the causal relationship between these variables. We find one long-run cointegrating relationship that runs from the real minimum wage to the real retail trade sales. In addition, we find that a 1% increase in the minimum wage is associated with almost a 0.5% increase in real retail trade sales in the long run. While our findings rest on several statistical assumptions, there is strong evidence in support of the position that minimum wage strengthens aggregate consumer spending, and thereby the standard of living, economic growth and stability. This is a position that differs from the conclusions drawn from mainstream academic and policy debates on the economic usefulness and efficacy of minimum wage increases. JEL Codes: C30, E21, E24

scholarly journals MINIMUM WAGE IMPLICATIONS AND POVERTY NUMBERS EAST JAVA PROVINCE

2018 ◽  
Vol 16 (2) ◽  
pp. 121
Author(s):  
Novi Primita Sari
Keyword(s):  
Regression Analysis ◽  
Panel Data ◽  
Minimum Wage ◽  
Poverty Line ◽  
Poverty Rate ◽  
Minimum Wages ◽  
Poor People ◽  
Unemployment Rates ◽  
City Regions

An area is said to be advanced if the number of people living below the poverty line is getting smaller. But the problem of poverty is not an easy matter to solve, many factors that lead to faster growth every year. This study aims to analyze the implications of GRDP, the determination of regional minimum wages (UMR) and unemployment rates for the number of poor people in East Java Province. The method used in this study is a regression analysis with panel data covering, Regency and City GRDP data throughout the East Java Province, 2015 to 2016 UMR and unemployment in all Regency and City regions in East Java Province in the same two-year period . The results of the analysis of this study can be concluded that in the last two years the GRDP variables did not have an influence on poverty, but two variables, namely unemployment and regional minimum wages had an influence on the poverty rate in East Java Province. With the R square value obtained is 0.999483 which means that the model in this study is able to explain the phenomenon of 99.98 percent.

scholarly journals Puerto Rico's minimum wage: Revisiting a price floor with bite

2021 ◽  
Vol 11 (1) ◽  
Author(s):  
Robert Tucker Omberg
Keyword(s):  
Puerto Rico ◽  
Minimum Wage ◽  
Control Method ◽  
Minimum Wages ◽  
Synthetic Control ◽  
Wage Elasticity ◽  
Federal Minimum Wage ◽  
Population Ratio ◽  
The Impact ◽  
Price Floor

Abstract Revisiting research from the 1990s from Castillo-Freeman and Krueger, I use the synthetic control method of Abadie et al. to estimate the impact of the most recent increase in the federal minimum wage on employment in Puerto Rico. I estimate that the employment/population ratio of various groups in Puerto Rico was significantly lower than that of a data-constructed synthetic Puerto Rico which did not raise its minimum wage. Placebo tests on other donor units, time periods, and population groups suggest that a significant portion of this gap is a result of the minimum wage. Groups with greater exposure to the minimum wage, such as teens and restaurant workers, experienced proportionally greater declines in employment. My results suggest an own-wage elasticity of employment in Puerto Rico of −0.68, higher than estimates from the mainland, which suggests that the employment response to minimum wages may be more dramatic at higher relative minimum wages.

scholarly journals Pengaruh pertumbuhan ekonomi, upah minimum dan jumlah tenaga kerja terhadap kemiskinan di Kota Jambi Tahun 2000 – 2017

2019 ◽  
Vol 8 (1) ◽  
pp. 12-25
Author(s):  
Fahrur Rozi ◽  
Yulmardi Yulmardi ◽  
Etik Umiyati
Keyword(s):  
Economic Growth ◽  
Linear Regression ◽  
Minimum Wage ◽  
Poverty Rate ◽  
Analytical Tool ◽  
Minimum Wages ◽  
Poverty Level ◽  
Independent Variables ◽  
The City ◽  
Poverty Levels

This study aims to: 1) Know and analyze the development of economic growth, minimum wages, number of workers and poverty levels in Jambi City; and 2) To find out and analyze the influence of economic growth, minimum wages and the number of workers and poverty levels in Jambi City. The analytical tool used in this study is multiple linear regression.The results of this study are that economic growth in Jambi City experienced fluctuations during 2000-2017. The minimum wage in the city of Jambi has increased annually during 2000-2017. Labor in Jambi City experienced fluctuations during 2000-2017. The poverty rate in Jambi City experienced annual fluctuations during 2000-2017. From the results of the processed multiple linear regression that the variable economic growth, minimum wage, labor simultaneously have a significant effect on the level of poverty, it can be seen from the significant value of 0.002 which is smaller than 0.05. While partially the independent variables that influence the poverty level are minimum wages and labor, it can be seen from the significant values ​​smaller than 0.05. Keywords: Economic Growth, Minimum Wage, Number of Labor, and Poverty Levels.

Do Minimum Wages Lead to Job Losses? Evidence from OECD Countries on Low-Skilled and Youth Employment

ILR Review ◽  
2017 ◽  
Vol 71 (3) ◽  
pp. 647-675 ◽  
Author(s):  
Simon Sturn
Keyword(s):  
Minimum Wage ◽  
Oecd Countries ◽  
Minimum Wages ◽  
Youth Employment ◽  
Young Workers ◽  
Skilled Workers ◽  
Wage Rates ◽  
Long Run ◽  
Dynamic Estimation ◽  
The Business Cycle

The author investigates effects of minimum wage rates on low-skilled, female low-skilled, and youth employment. The sample consists of 19 Organisation for Economic Co-operation and Development (OECD) countries from 1997 to 2013 for low-skilled workers and from 1983 to 2013 for young workers. Six different static or dynamic estimation approaches are applied on different versions of the specifications, controlling for up to quadratic time trends. The author further investigates the effects over the long run and over the business cycle as well as the effects of high minimum wages and of institutional complementarities. The findings provide little evidence of substantial disemployment effects for low-skilled, female low-skilled, or young workers. The estimated employment elasticities are small and statistically indistinguishable from zero. The author then considers why his results on youth employment differ from those of Neumark and Wascher (2004), showing that they overstate precision and that small changes in their specifications lead to minimum wage effects close to zero.

scholarly journals MINIMUM WAGE IMPLICATIONS AND POVERTY NUMBERS EAST JAVA PROVINCE

2018 ◽  
Vol 16 (2) ◽  
pp. 115
Author(s):  
Novi Primita Sari
Keyword(s):  
Regression Analysis ◽  
Panel Data ◽  
Minimum Wage ◽  
Poverty Line ◽  
Poverty Rate ◽  
Minimum Wages ◽  
Poor People ◽  
Unemployment Rates ◽  
City Regions

An area is said to be advanced if the number of people living below the poverty line is getting smaller. But the problem of poverty is not an easy matter to solve, many factors that lead to faster growth every year. This study aims to analyze the implications of GDRP, the determination of regional minimum wages (UMR) and unemployment rates for the number of poor people in East Java Province. The method used in this study is a regression analysis with panel data covering, Regency and City GDRP data throughout the East Java Province, 2015 to 2016 UMR and unemployment in all Regency and City regions in East Java Province in the same two-year period. The results of the analysis of this study can be concluded that in the last two years the GDRP variables did not have an influence on poverty, but two variables, namely unemployment and regional minimum wages had an influence on the poverty rate in East Java Province. With the R square value obtained is 0.999483 which means that the model in this study is able to explain the phenomenon of 99.98 percent.

State Minimum Wage Laws as a Response to Federal Inaction

2021 ◽  
pp. 0160323X2110008
Author(s):  
Shanna Rose
Keyword(s):  
Minimum Wage ◽  
Federal Policy ◽  
Minimum Wages ◽  
Annual Rate ◽  
Policy Agenda ◽  
State Activity ◽  
Dollar Amount ◽  
Ballot Measure ◽  
State Legislative

This article analyzes state legislative and ballot measure activity related to the minimum wage between 2003 and 2020. The analysis distinguishes proposals to raise the minimum wage from those to index it to the annual rate of inflation, and examines the proposed dollar amount, the process used (legislation vs. ballot measure), and the measure’s success or failure. The analysis suggests that state activity tends to increase when the minimum wage rises on the federal policy agenda, and that partisanship and ideology also play a central role in efforts to raise and index state minimum wages.

scholarly journals The Minimum Wage Affects Them All: Evidence on Employment Spillovers in the Roofing Sector

2013 ◽  
Vol 14 (3) ◽  
pp. 282-315 ◽  
Author(s):  
Bodo Aretz ◽  
Terry Gregory ◽  
Melanie Arntz
Keyword(s):  
Minimum Wage ◽  
Scale Effects ◽  
Minimum Wages ◽  
Wage Distribution ◽  
Employment Effects ◽  
Eastern Germany

Abstract This study contributes to the sparse literature on employment spillovers of minimum wages. We exploit the minimum wage introduction and subsequent increases in the German roofing sector that gave rise to an internationally unprecedented hard bite of a minimum wage. We look at the chances of remaining employed in the roofing sector for workers with and without a binding minimum wage and use the plumbing sector that is not subject to a minimum wage as a suitable benchmark sector. By estimating the counterfactual wage that plumbers would receive in the roofing sector given their characteristics, we are able to identify employment effects along the entire wage distribution. The results indicate that the chances for roofers to remain employed in the sector in eastern Germany deteriorated along the entire wage distribution. Such employment spillovers to workers without a binding minimum wage may result from scale effects and/or capital-labour substitution.

Opportunity zones: Do tax benefits go to the most distressed communities?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
James R. Barth ◽  
Yanfei Sun ◽  
Shen Zhang
Keyword(s):  
African American ◽  
Family Income ◽  
Tax Incentives ◽  
Poverty Rate ◽  
Key Factors ◽  
Median Family Income ◽  
Content Type ◽  
Explanatory Factors ◽  
Tax Benefits ◽  
Selection Of

Purpose The exact criteria used by state governors for choosing opportunity zones (OZs) are not publicly available. This paper aims to examine whether state governors selected the most distressed communities, or those with the highest proportions of minorities, as OZs. Design/methodology/approach This paper compares the distressed communities chosen as OZs in states throughout the country to an equal number of those eligible distressed communities but not selected. Moreover, this paper uses regression analysis to determine whether the poverty rate, median family income, population, percentage of population that is minority and the percentage of population that is African American are significant explanatory factors in the choice of OZs. Findings After describing the tax incentives for investing in OZs, this paper documents that governors did not select many of the most distressed communities, or those with high proportions of minorities, in their individual states. Originality/value This paper describes in some detail the way in which investors may generate tax benefits by investing in eligible property or businesses in OZs. It also examines the extent to which the degree of poverty and the percentage of the population that is minority (and African American) were key factors in the selection of OZs. It arises an issue that the chosen communities are not necessarily those most in need of more investment or those heavily populated by minorities, particularly African Americans.

scholarly journals HIV-1 seroprevalence in the general population of Salvador, Bahia State, Northeast Brazil

2007 ◽  
Vol 23 (1) ◽  
pp. 25-32 ◽  
Author(s):  
Inês Dourado ◽  
Craig A. Milroy ◽  
Marco Antônio Gomes Mello ◽  
Geraldo Argolo Ferraro ◽  
Humberto Castro-Lima Filho ◽  
...  
Keyword(s):  
General Population ◽  
Minimum Wage ◽  
Family Income ◽  
Dna Amplification ◽  
Income Group ◽  
Cross Sectional Survey ◽  
Cross Sectional ◽  
Subtype B ◽  
Wide Range ◽  
Hiv 1

To estimate HIV-1 seroprevalence in the general population of Salvador, Bahia, Brazil, we conducted a cross-sectional survey of 3,437 residents from 1998 to 2000. Subjects were drawn from 30 sentinel areas representing a wide range of living conditions. Plasma samples were screened for HIV-1 antibodies by ELISA and confirmed by immunofluorescent assay. Subtype determination by HMA was performed after proviral DNA amplification. Phylogenetic analysis using parsimony was performed with the neighbor-joining method. Overall HIV-1 seroprevalence was 0.55% (19/3,446): 0.8% for men and 0.36% for women. Seroprevalence was higher in the 31-45-year age group (1%) and among persons with family income less than twice the minimum wage (0.78%) as compared to 0.33% for the higher income group. Syphilis was detected in 37% of HIV seropositive individuals. Phylogenetic inferences identified 10 samples as subtype B in the env region and 2 samples with Benv/Fgag/Fpol and Fenv/Bgag. Age > 30 years, male gender, and income < 2 times the minimum wage were identified as risk factors for HIV-1 infection. Extrapolating the proportion of seropositive individuals to Salvador, the number of HIV-1 infected individuals was estimated at 13,750.

Sign in / Sign up

Export Citation Format

Share Document