This paper aims at answering the question: How does a typically European bargaining system |with collective bargaining, extension mechanisms and national minimum wage |coexist with low unemployment rate and high wage °exibility? A unique data set on workers, ̄rms and collective bargaining contracts in the Portuguese economy is used to analyze the determinants of both the bargained wage and the ...

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...

Union Wages and the Minimum Wage Henry S. Farber Massachusetts Institute of Technology It is argued that a change in the minimum wage may affect the outcomes of collective bargaining through its effect on a hypothetical "reference wage" which the union rank-and-file use as a basis of comparison in formulating their wage demand. It is further argued that the importance of the minimum wage in the...

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 ...

OBJECTIVE To analyze the role that low income plays in the development of asthma in children and adolescents. METHODS A case-control study using a questionnaire. RESULTS A total of 687 participants were studied at a tertiary hospital via the Brazilian Unified Health System. Ages ranged from 5 to 15 years, and 54.7% of the participants were male. Nearly half of the individuals (49.1%) lived ...

Local minimum wage laws are becoming common across U.S. cities, and their effects may be different from the effects of state or nationwide minimum wage policies. This paper studies the effect of changes in the minimum wage on spatial equilibriums in local labor markets. Using residence and workplace data for the United States, I analyze how commuting, residence, and employment locations change ...

This paper presents a simple model to characterize the discriminatory behavior of a non-complying firm in a minimum-wage economy. In the analysis, the violating firm pays one “favored” group of workers the statutory minimum and the other “non-favored” group of workers a sub-minimum. We find conditions under which law enforcement is ineffective in improving the between-group wage differentials. ...