The regional effects of Germany’s national minimum wage

Gabriel Ahlfeldt, Duncan Roth and Tobias Seidel

No 13005, CEPR Discussion Papers from C.E.P.R. Discussion Papers

Abstract: We estimate the spatially differential effects of a nationally uniform minimum wage that was introduced in Germany in 2015. To this end, we use a micro data set covering the universe of employed and unemployed individ-uals in Germany from 2011 to 2016 and a difference-in-differences based identification strategy that controls for heterogeneity in pre-treatment outcome trends. We find that the policy led to spatial wage convergence, in par-ticular in the left tail of the distribution, without reducing relative employment in low-wage regions within the first two years.

Keywords: Difference-in-differences; Employment; Germany; Minimum wage; Wage inequality (search for similar items in EconPapers)
JEL-codes: J31 J58 R12 (search for similar items in EconPapers)
Date: 2018-06
New Economics Papers: this item is included in nep-geo, nep-lma and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (78)

Downloads: (external link)
https://cepr.org/publications/DP13005 (application/pdf)
CEPR Discussion Papers are free to download for our researchers, subscribers and members. If you fall into one of these categories but have trouble downloading our papers, please contact us at subscribers@cepr.org

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cpr:ceprdp:13005

Ordering information: This working paper can be ordered from
https://cepr.org/publications/DP13005

Access Statistics for this paper

More papers in CEPR Discussion Papers from C.E.P.R. Discussion Papers Centre for Economic Policy Research, 33 Great Sutton Street, London EC1V 0DX.
Bibliographic data for series maintained by ().