Is Minimum Wage an Effective Anti-Poverty Policy in Japan?

Daiji Kawaguchi and Yuko Mori

Discussion papers from Research Institute of Economy, Trade and Industry (RIETI)

Abstract: This paper considers whether minimum wage is a well-targeted anti-poverty policy by examining the backgrounds of minimum-wage workers, and whether raising the minimum wage reduces employment for unskilled workers. An examination of micro data from a large-scale government household survey, the Employment Structure Survey (Shugyo Kozo Kihon Chosa), reveals that about half of minimum-wage workers belong to households with annual incomes of more than 5 million yen as a non-head of household. A regression analysis indicates that an increase in the minimum wage moderately reduces the employment of male teenagers and middle-aged, married females, while it encourages the employment of high school age youth.

Pages: 48 pages
Date: 2009-07
New Economics Papers: this item is included in nep-lab
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Citations: View citations in EconPapers (14)

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https://www.rieti.go.jp/jp/publications/dp/09e032.pdf (application/pdf)

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Journal Article: IS MINIMUM WAGE AN EFFECTIVE ANTI‐POVERTY POLICY IN JAPAN? (2009)
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Persistent link: https://EconPapers.repec.org/RePEc:eti:dpaper:09032

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