Minimum Wages and Employment in France and the United States

John Abowd (), Francis Kramarz () and David Margolis

No 6996, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We use longitudinal individual wage and employment data in France and the United States to investigate the effect of changes in the real minimum wage on an individual's employment status. We find that movements in both French and American real minimum wages are associated with mild employment effects in general and very strong effects on workers employed at the minimum wage. In the French case, a 1% increase in the real minimum wage decreases the future employment probability of a man (respectively, a woman) currently employed at the minimum wage by 1.3% (1.0%). In the United States, a decrease in the real minimum wage of 1% increases the probability that a man (woman) employed at the minimum wage came from unemployment in the previous year by 0.4% (1.6%).

JEL-codes: J23 J31 (search for similar items in EconPapers)
Date: 1999-03
New Economics Papers: this item is included in nep-ltv and nep-pbe
Note: LS
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (86)

Published as John M. Abowd & Francis Kramarz & Thomas Lemieux & David N. Margolis, 2000. "Minimum Wages and Youth Employment in France and the United States," NBER Chapters, in: Youth Employment and Joblessness in Advanced Countries, pages 427-472 National Bureau of Economic Research, Inc.

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Working Paper: Minimum Wages and Employment in France and the United States (1999)
Working Paper: Minimum Wages and Employment in France and the United States (1999)
Working Paper: Minimum Wages and Employment in France and the United States (1999)
Working Paper: Minimum Wages and Employment in France and the United States (1998)
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