The minimum wage and search effort
نویسندگان
چکیده
Labor market search-and-matching models posit supply-side responses to minimum wage increases that may lead improved matches and lessen or even reverse negative employment effects. Using event study analysis of recent increases, we find these changes do not affect the likelihood searching, but transitory spikes in search effort by individuals already looking for work. These results are driven composition searchers, concentrated among groups most likely be impacted response larger increases.
منابع مشابه
Job and Wage Mobility in a Search Model with Non-Compliance (Exemptions) with the Minimum Wage
Job and Wage Mobility in a Search Model with Non-Compliance (Exemptions) with the Minimum Wage How well does a simple search on-the-job model fit the eighteen years of job and wage mobility of high school graduates? To answer this question we are confronted from the data with a prevalent non-compliance and exemptions from the minimum wage. We incorporate this observation in a job search model w...
متن کاملStagnation and minimum wage: Optimal minimum wage policy in macroeconomics
This paper argues how an increase in minimum wage affects employment, consumption, and social welfare with dynamic general equilibrium model without market frictions. The study demonstrates that a minimum wage hike reduces an actual unemployment rate and has positive effects on an employment rate under the demand-shortage economy whereas they do not under a non-demand shortage economy. The stud...
متن کاملWage Inequality, Minimum Wage Effects and Spillovers
This paper investigates possible spillover effects of the UK minimum wage. The halt in the growth in inequality in the lower half of the wage distribution (as measured by the 50:10 percentile ratio) since the mid 1990s, in contrast to the continued inequality growth in the upper half of the distribution, suggests the possibility of a minimum wage effect and spillover effects on wages above the ...
متن کاملCrime and the Minimum Wage
How does the minimum wage affect crime rates? Empirical research suggests that increasing a worker’s wage can deter him from committing crimes. On the other hand, if that worker becomes displaced as a result of the minimum wage, he may be more likely to commit a crime. In this paper, I describe a frictional world in which a worker’s criminal actions are linked to his labor market outcomes. The ...
متن کاملUnderreporting and Minimum Wage
We propose a theory of firm that is consistent with empirically observed phenomenon of firms simultaneously engaging in both formal and informal activities. Firms face endogenous probability of auditing that depends on the scale of underreporting of both sales and wages. We characterize the conditions for a firm facing corporate, value added and payroll taxes to hide a part of its activities. U...
متن کاملذخیره در منابع من
با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید
ژورنال
عنوان ژورنال: Economics Letters
سال: 2022
ISSN: ['1873-7374', '0165-1765']
DOI: https://doi.org/10.1016/j.econlet.2022.110288