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Full-Text Articles in Income Distribution
The Effects Of Increasing The Minimum Wage On Prices: Analyzing The Incidence Of Policy Design And Context, Daniel Macdonald, Eric Nilsson
The Effects Of Increasing The Minimum Wage On Prices: Analyzing The Incidence Of Policy Design And Context, Daniel Macdonald, Eric Nilsson
Upjohn Institute Working Papers
We analyze the price pass-through effect of the minimum wage and use the results to provide insight into the competitive structure of low-wage labor markets. Using monthly price series, we find that the pass-through effect is entirely concentrated on the month that the minimum wage change goes into effect, and is much smaller than what the canonical literature has found. We then discuss why our results differ from that literature, noting the impact of series interpolation in generating most of the previous results. We then use the variation in the size of the minimum wage change to evaluate the competitive …
The Rise Of Domestic Outsourcing And The Evolution Of The German Wage Structure, Deborah Goldschmidt, Johannes Schmieder
The Rise Of Domestic Outsourcing And The Evolution Of The German Wage Structure, Deborah Goldschmidt, Johannes Schmieder
Upjohn Institute Working Papers
The nature of the relationship between employers and employees has been changing over the last three decades, with firms increasingly relying on contractors, temp agencies, and franchises rather than hiring employees directly. We investigate the impact of this transformation on the wage structure by following jobs that are moved outside of the boundary of lead employers to contracting firms. For this end we develop a new method for identifying outsourcing of food, cleaning, security, and logistics services in administrative data using the universe of social security records in Germany. We document a dramatic growth of domestic outsourcing in Germany since …
Who Benefits From A Minimum Wage Increase?, John W. Lopresti, Kevin J. Mumford
Who Benefits From A Minimum Wage Increase?, John W. Lopresti, Kevin J. Mumford
Upjohn Institute Working Papers
This paper addresses the question of how a minimum wage increase affects the wages of low-wage workers. Most studies assume that there is a simple mechanical increase in the wage for workers earning a wage between the old and the new minimum wage, with some studies allowing for spillovers to workers with wages just above this range. Rather than assume that the wages of these workers would have remained constant, this paper estimates how a minimum wage increase impacts a low-wage worker’s wage relative to the wage the worker would have if there had been no minimum wage increase. The …
Earnings Inequality In Germany, Katharine G. Abraham, Susan N. Houseman
Earnings Inequality In Germany, Katharine G. Abraham, Susan N. Houseman
Upjohn Institute Working Papers
Recent studies have documented the growth of earnings inequality in the United States during the 1980s. In contrast to these studies' findings, our analysis of micro data for the former West Germany yields virtually no evidence of growth in earnings inequality over the same period. Between 1978 and 1988, a reduction in the dispersion of earnings among workers in the bottom half of the earnings distribution led to a narrowing of the overall dispersion of earnings in Germany. Earnings differentials across education and age groups remained roughly stable, and there was no general widening of earnings differentials within either education …